By Lucy Phillips
16 February 2011
The need to reform the UK economy has been forgotten in the debate over the Big Society, which is dominated by rows over cuts, according to social enterprise campaigners.
A report published today by the Social Enterprise Coalition says the government needs to act on a Conservative election manifesto pledge to reform the economy at the same time as changing civil society through the Big Society. The role of business in the Big Society should also be clarified, the umbrella body for social enterprises says.
The report, Time for social enterprise, claims that the current funding of charity work – through government grants, philanthropy and corporate social responsibility – is ‘a one dimensional way of tackling the country’s social and environmental problems’. Social enterprise would provide a better alternative because it contributes to gross domestic product at the same time as tackling the problems, it says.
Peter Holbrook, chief executive of the Social Enterprise Coalition, said social enterprises – businesses run for social purposes – needed to be ‘better understood and better used’ in the UK. There are currently 62,000 in the UK. They operate in most sectors, including health and social care, education, employment, energy and retail.
The report recommends establishing a national social enterprise taskforce to integrate social and economic policy and ensure the greatest value from public spending.
Holbrook added: ‘The current system we have is ill equipped to deal with the challenges our country is facing. The recession, social problems like crime and unemployment, environmental issues like carbon emissions and a lack of landfill space are all things that the social enterprise movement seeks to remedy. Social enterprise makes a great deal of common sense, but to reach its potential it will require much broader awareness and understanding.’
