Social Impact Bonds

advertisement
Tom Flanagan
Corporate Director EPE
26 September 2011
Social Impact Bonds
& Local Integrated
Service Trust (LIST)
Growing a Social Investment Market
“Britain needs new ways of tackling some very stubborn
and expensive problems such as fractured communities,
homelessness and high rates of re-offending. Social
entrepreneurs and the social ventures they lead bring
innovative solutions by combining social mission with
sustainable business models.”
Cabinet Office – February 2011
www.cornwall.gov.uk
Annual Operational Budgets
vs
Long-term Multi-Agency Investment
in Prevention
A Potential Value For Money Solution!
In Cornwall we have the opportunity to:
• Build on an innovative social enterprise culture
• Explore the opportunity of Social Impact Bonds
• Create a Local Integrated Service Trust (LIST)
• A LIST that will facilitate Social impact Bond Funding
www.cornwall.gov.uk
www.cornwall.gov.uk
The Local Integrated Service Trust
www.cornwall.gov.uk
www.cornwall.gov.uk
Social Impact Bond – Key Criteria
• Raise minimum of c£5m investment
• Based on agreed Intervention/Diversion Strategy
• Agree timescale for success criteria
• Have confidence in chosen metric(s) over 5 years
• Require a public sector contracting party
• Agreement with established social enterprise
• Could apply to arms-length wholly-owned companies
www.cornwall.gov.uk
Cautious Optimism
• New idea, new language, new thinking
• This sounds great – can we make it happen?
• Concerns around the following:
What is the financial case?
Motive of investors?
Low risk – yes, if we get the business case correct!
Will it be able to support our challenges/priorities?
www.cornwall.gov.uk
Peninsular Discussions - Progress to Date
• Potential Areas of Benefit • Children’s Services
 In Families
 In Care
• Offender Management
 In Prison
 In the Community
• Health
 Infrastructure & Non-Clinical
 Clinical
• Worklessness
 NEETS
 Adults
• Waste/Landfill/Recover-Reuse-Recycle
www.cornwall.gov.uk
Peninsular Discussions - Progress to Date
• Proposed Work Streams •
•
•
•
•
•
•
Children’s Services (Torbay)
Recession – Impact on Young People (Plymouth)
Offender Management (Torbay)
Health - Telecare & Non-Clinical (Cornwall)
Health - Clinical (Devon)
Worklessness (Cornwall)
Waste/Landfill/Recovery (Cornwall)
www.cornwall.gov.uk
Next Steps
• Engage with our partners & stakeholders
• Identifying appropriate social issues for SIB/LIST
• Creating Intervention & Diversion Strategies
based on current work streams
• Intervention/Diversion Strategies – lead to Business Case
• Research preferred options with funders/intermediaries
• Develop Cornwall (Peninsular) Funding Model
www.cornwall.gov.uk
Can we
afford it
Caution
&
Optimism
New Money
What is
everyone’s
motivation
Virtuous
circle
Low Risk
Questions & Discussion
www.cornwall.gov.uk
Download