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Social enterprise in health and social care by Natasha Jolob
In the last year, The Social Investment Business helped unbankable projects win over 230 public service contracts worth over £46.2 million (we only invest in organisations that are unable to source finance from commercial lenders). The idea of civil society organisations - charities, community groups, social enterprises - delivering public sector services is something you may already have heard about with the coalition’s Big Society plans gaining ground over the months since the election.
The case for social enterprise is already strong. It is estimated there are more than 6,000 social enterprises delivering health and social care services for the NHS, a number that continues to rise as NHS professionals increasingly view social enterprises as a viable means of tackling unmet needs and health inequalities.
Social enterprises can offer commissioners something unique. Certainly, they can deliver quality, efficiency and value for money. They have specialist knowledge of user and community needs and this will surely help commissioners to determine the outcomes needed by NHS agencies.
Taking this one step further, joint planning with social enterprises will ensure that the right services are commissioned. Mapping the fullest practicable range of suppliers with a view to understanding the contribution that they could make is a must. More competition, and more varied competition, encourages greater innovation. Not to mention the ‘softer’ benefits: social enterprises are more likely to consider local (or community) factors, they put more control in the hands of local people, and they build social capital.
Transparent and fair contracting processes will facilitate a diverse range of suppliers. Investing in better supply side management through subcontracting and consortia building will enable commissioners to have more for less that is much needed in the current climate.
Overall, we think that social enterprises are uniquely placed to become a vibrant part of service delivery; using the right people in the right places.
This is ground breaking work and The Social Investment Business is helping to pave the way for the future of service delivery of this kind. Do you have experience of delivering public service contracts? We’d love to hear your thoughts and experiences so please share them on our blog or by emailing us.
This blog post is adapted from an article in Health Service Procurement Review.


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