By Keith Aitken in Edinburgh | 31 May 2011
Leaders of Scotland’s social enterprise sector have held talks with local authority chief executives to pitch for a greater role in providing public services.
The Scottish Social Enterprise Coalition, representing many of Scotland’s 3,000-plus social businesses, made its plea at a face-to-face meeting on May 26 with the Scottish branch of the Society of Local Authority Chief Executives and Senior Managers.
The coalition is asking councils to lead on reshaping procurement practices to give social businesses as well as smaller companies a greater share of spend, through mechanisms such as community benefit clauses in contract tenders.
Antonia Swinson, chief executive of the Scottish Social Enterprise Coalition, told Public Finance that the summit came as the fast-developing sector approaches what it believes may be a tipping point that could transform it into a much bigger player in the Scottish economy.
The new Scottish National Party government is committed to a Sustainable Procurement Bill, which would oblige public bodies to make greater use of social and environment benefit clauses.
This will build on the three-year programme, Ready for Business, funded by the previous minority SNP administration. It was aimed at promoting the use of such clauses and supporting third-sector organisations to take advantage of them.
Swinson has also been working with Scottish Financial Enterprise, which represents the financial services sector, to quantify and develop what she claims is a growing interest in the sector among investors.
Private contractors are also increasingly alert to the opportunities of working with third-sector partners, Swinson said. She cites examples of bidders who have volunteered community benefit clauses to enhance the social appeal of tenders.
The social enterprise coalition wants ministers to nurture this by engaging directly with lenders, supporting credit unions to invest in social enterprises, creating a bespoke loan guarantee scheme to provide collateral for lending to social enterprises and introducing social impact bonds to channel investment into third-sector projects.
Contacts with individual authorities suggested a growing understanding of the ability of social enterprises to provide services in ways that both added value and were competitive, Swinson said.
Yet there are persistent reports of public bodies quietly contriving to keep services in-house and thereby avoid staff cuts as budgets tighten.
Swinson added: ‘We’re looking to Solace to get ahead of the game. The chief executives have a real leadership role to play in this. It requires a major culture shift in local authorities, and we need to accept and recognise that.’
Leaders of Scotland’s social enterprise sector have held talks with local authority chief executives to pitch for a greater role in providing public services.
The Scottish Social Enterprise Coalition, representing many of Scotland’s 3,000-plus social businesses, made its plea at a face-to-face meeting on May 26 with the Scottish branch of the Society of Local Authority Chief Executives and Senior Managers.
The coalition is asking councils to lead on reshaping procurement practices to give social businesses as well as smaller companies a greater share of spend, through mechanisms such as community benefit clauses in contract tenders.
Antonia Swinson, chief executive of the Scottish Social Enterprise Coalition, told Public Finance that the summit came as the fast-developing sector approaches what it believes may be a tipping point that could transform it into a much bigger player in the Scottish economy.
The new Scottish National Party government is committed to a Sustainable Procurement Bill, which would oblige public bodies to make greater use of social and environment benefit clauses.
This will build on the three-year programme, Ready for Business, funded by the previous minority SNP administration. It was aimed at promoting the use of such clauses and supporting third-sector organisations to take advantage of them.
Swinson has also been working with Scottish Financial Enterprise, which represents the financial services sector, to quantify and develop what she claims is a growing interest in the sector among investors.
Private contractors are also increasingly alert to the opportunities of working with third-sector partners, Swinson said. She cites examples of bidders who have volunteered community benefit clauses to enhance the social appeal of tenders.
The social enterprise coalition wants ministers to nurture this by engaging directly with lenders, supporting credit unions to invest in social enterprises, creating a bespoke loan guarantee scheme to provide collateral for lending to social enterprises and introducing social impact bonds to channel investment into third-sector projects.
Contacts with individual authorities suggested a growing understanding of the ability of social enterprises to provide services in ways that both added value and were competitive, Swinson said.
Yet there are persistent reports of public bodies quietly contriving to keep services in-house and thereby avoid staff cuts as budgets tighten.
Swinson added: ‘We’re looking to Solace to get ahead of the game. The chief executives have a real leadership role to play in this. It requires a major culture shift in local authorities, and we need to accept and recognise that.’
