Issues

Inside the Social Economy Strategy

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agendaNi reviews DETI’s plan for the sector.

“An enterprise environment which encourages greater social entrepreneurial activity and is supportive of those SEEs [social economy enterprises] that want to grow” is DETI’s stated vision for the social economy.

Its Social Economy Enterprise Strategy was published in March with three strategic objectives:

• increase awareness of the sector and establish its value to the local economy;

• develop the sector and increase its business strength; and • create a supportive and enabling environment.

Social economy enterprises are defined as organisations that have a social, community or ethical purpose, operate using a commercial business model and have a legal form appropriate to a not for personal profit status.

This refreshes a previous strategic plan, which was published in 2004 and had the same objectives. Achievements included collecting baseline data for nearly 400 SEEs, a social capital toolkit, the setting up of the Social Economy Network (SEN) and several events to promote the sector’s work.

Social economy work received over €125 million from the Peace II funding programme but less money is available under Peace III, due to its focus on reconciliation.

This is a “transitional” document as the new councils will have a greater role in developing the sector when the Review of Public Administration takes effect e.g. running the Social Entrepreneurship Programme.

In the meantime, Invest NI will bring forward a new Social Entrepreneurship Programme, to support over 100 groups per annum, and manage the pilot Social Economy Fund. This will provide a minimum of 25 placements in West Belfast and the Greater Shankill, with the aim of having three-quarters of recruits still in employment after two years. DFP will draw up priorities for how the Dormant Account Scheme can be used for social or environmental purposes.

Each objective is backed up by two actions.

Increasing awareness and establishing the sector’s value firstly involves “increasing knowledge and understanding”. The SEN will raise the sector’s profile and encourage enterprises to apply for local and national business awards, while DETI will ensure that local authorities are “fully engaged” in the strategy’s implementation. Invest NI will sponsor sector-specific events such as the Northern Ireland heat of the Enterprising Britain competition. Secondly, an ongoing evaluation will measure the programme’s impact.

Developing the sector and increasing its business strength primarily means helping businesses to grow. SEN will encourage its members to take part in relevant business support programmes. It will also lobby for improvements in public procurements so SEEs can increasingly compete for those contracts. DETI and Invest NI will work with the Ulster Community Investment Trust (UCIT) to identify and design innovative financial products, including a new Flexible Enterprise Fund. Business growth will be complemented by skills development, with DETI supporting the work of the School for Social Entrepreneurs in Ireland.

Creating a “supportive and enabling environment” includes building the evidence base and “fostering a SEE culture”. The former involves the SEN drawing up a detailed database on the size and scale of the sector and a trade directory of services and goods which it provides. Invest NI would help SEEs find technical support through an enhanced innovation vouchers scheme. The latter action covers over 20 points e.g. encouraging credit unions to join the sector.

The strategy will run for three years but, in three apparent errors, includes tasks to be done in 2009:

• Invest NI to “commission an ongoing evaluation” of the Social Economy Fund programme (early 2009);

• DSD to “consider the findings and opportunities” of Audit Office research into how the voluntary and community sector can deliver public services (early 2009);

• The SEN to “collate intelligence” from its membership and identify sectoral issues to “inform/lobby” policy makers (June-August 2009 and updated annually thereafter).

A draft strategy was approved on 17 August 2009 and its consultation closed on 9 October 2009. Of the 21 responses, nine came from councils who emphasised the need to consult and involve them, given their future role.

The Social Economy Network is calling for applications for the National Social Enterprise Awards 2011. Applications close on 18 January. Northern Ireland winners will be announced at an awards ceremony on 25 February. They will compete against other regional winners at London’s O2 Arena in March.

www.socialenterpriseawards.org

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