Capacitybuilders - Improving support for a stronger third sector

18/06/2008

Phil Hope, Minister for the Third Sector, has announced £6 million new investment to improve business support services for social enterprises. 

The money will fund improvements like new mentoring schemes, more accredited advisers and work to develop emerging markets.

Social enterprises operate a double bottom line, making a profit as well as having a social or environmental aim. Better tailored support services will help more social enterprises grow and thrive.

The funding, from the Office of the Third Sector in the Cabinet Office, will be distributed over the next three years by Capacitybuilders.

Capacitybuilders will work with social enterprise networks in each region and other local partners including regional development agencies (RDAs) to identify the best ways to meet local needs.

Phil Hope, Minister for the Third Sector, announced the new fund at the Capacitybuilders annual conference in Birmingham on Tuesday 17 June.

He said: “This money will help regional business support services give social enterprises what they need to succeed. Support services need to reflect the particular challenges that social enterprises face because they have a social or environmental aim as well as making money.

Helping social enterprises helps local economies and local communities to thrive so I’m very pleased that Capacitybuilders are leading this programme.”

Jonathan Bland Chief Executive of Social Enterprise Coalition said: “We welcome today’s announcement and thank Phil Hope for his tireless championing of social enterprise."

The Capacitybuilders investment will make a real difference to social enterprises on the ground. It is vital to have the necessary mechanisms in place to support the start up and growth of sustainable social enterprises.”

He continued: ” Together we will develop and deliver the right support services for social enterprises. This is a fantastic opportunity for us to create innovative tools that will boost the growth of social enterprises in their quest to tackle social and environmental challenges of 21st century.”

Chris Pond, Chair of Capacitybuilders said: “This new programme reflects our commitment to ensure social enterprise is supported across our work. It will help set social enterprise support on a journey of improved quality that is long term and sustainable. “

Capacitybuilders aims to ensure a strategic approach to investment against regional priorities. Social enterprise regional networks will be asked to work with key stakeholders over the coming months to identify priority actions to tackle weaknesses in provision in their areas.

The programme will help increase collaboration and sharing of best practice between social enterprise support and the rest of the third sector, through consultation on priorities and the potential for collaborative projects.

It builds on the commitments of the Third Sector Review and Destination 2014 to ensure social enterprise is fully integrated in to Capacitybuilders’ programmes.

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Editors notes

• Capacitybuilders was launched in April 2006 to manage funds available through the Government's investment in the ChangeUp programme.
• Through Capacitybuilders, the Government has invested £70 million over the last two years in supporting a stronger third sector.
• Capacitybuilders investment mirrors the Office of the Third Sector funding on a similar scale for Regional Development Agencies (RDA) to help improve access to Business Link.  The portfolio of projects developed by Social Enterprise Regional Networks will deliver additional benefits to RDA and other investments.
• Social Enterprise London is a partner in delivery of the Income Generation workstream under the new national Improving Support initiative.  This work will help spread know-how to delivert triple bottom line - people, planet, profit - across the sector.
• The Social Enterprise Programme developed by Capacitybuilders works closely with the Big Lottery Fund (BLF).  BLF has identified an England-wide priority in its BASIS (Round 2) programme to support social enterprise infrastructure.
• The Social Enterprise Coalition (SEC) is the UK's national body for social enterprise.  Acting as the voice for the sector, it supports and represents the work of its members, influences national policy and promotes best practice.  For more information visit www.socialenterprise.org.uk
• Social enterprises are dynamic businesses with social and environmental aims.  Well known examples include The Big Issue, Cafe Direct and Jamie Oliver's Fifteen, but there are many other social enterprises operating in a wide range of industries from farmers markets and recycling companies to transport and childcare providers.
• According to figures from the Government's Annual Small Business Survey 2005 and existing data for the social enterprise sector, there are at least 55,000 social enterprises in the UK with a combined turnover of £27 billion per year.