Government to support various social enterprises to boost recovery in UK

X

Sign up for free to receive the latest news straight to your inbox

Register

A new generation of social enterprises – especially led by women from diverse ethnic backgrounds – are harnessing the power of diversity to drive the UK’s recovery from the pandemic.

A new study from Social Enterprise UK reveals that vibrant community-led organizations are already making great strides in helping the country ‘build back better’.

Using the talents and experience of people from all sections of their ‘racialized’ communities – previously known as BAME – social enterprises, which are increasingly led by women, have powerful social and economic impacts .

Produced twice a year by Social Enterprise UK to explore the growth of the social enterprise sector in the UK, the report illustrates how they are providing leadership in areas devastated by the COVID-19 pandemic.

The report reveals how a new wave of inclusive start-ups better represents society.

Helen Burkinshaw, policy and research coordinator at Liverpool and Manchester social enterprise, The Women’s Organization, says it is time for the government to give the social enterprise sector the recognition it deserves.

She said: “Social enterprises should be given absolute parity with other businesses, especially after the resilience they have shown in light of the pandemic.

“Seventy-eight percent of social enterprises are now regulated by the Department of Business, Energy and Industrial Strategy (BEIS). The government must recognize that BEIS is the most appropriate ministry to oversee social enterprise and ensure its continued growth.

The Women’s Organization Deputy CEO Helen Milne said: “We know, through our work with the Enterprise Research Center, that social enterprises are essential to achieving a more environmentally friendly business landscape. . They are ahead of the curve when it comes to integrating environmental policies given their commitment to delivering social results at all levels.

“It is notable, especially after the pandemic, that despite enormous economic and social challenges and difficult business environments, social enterprises have continued to have an impact, not only financial, but environmental and social. “

Helen Burkinshaw added: “SEUK report shows that social enterprises are leading the way in terms of growth, job creation, diversity and inclusion, innovation and resilience – 44% of social enterprises reported an increase in turnover during the pandemic, compared to 18% for the rest of the business.

“Almost half of social enterprises are headed by women (47%) against only 16% for the rest of the companies, and 31% of the companies in the sector have directors from BAME, against 6% for the rest of the companies. Business. In addition, one in five companies in the sector addresses the climate emergency as part of its basic social and environmental mission.

“It therefore seems absurd to me that obstacles persist to prevent the start-up or growth of small and medium-sized social enterprises. I think the lack of research and confidence in the sector is certainly an affecting factor, but it is worrying that access to finance and investment remains a major problem.

She says the government’s top priority is to give social enterprises much easier access to financial and procurement markets if they are to unleash their full potential and contribute to economic recovery.

In addition, direct political action is needed to help mobilize the social enterprise sector, and closer engagement with companies operating in the sector is essential if lessons are to be learned and applied. Helen said: “This is particularly relevant after the pandemic and is essential to any recovery strategy.”

Comments are closed.