13.09.2012
Today’s announcement of Big Society Capital’s initial investments comes hot on the heels of two reports that paint an optimistic picture of social investment in the future.
The first, from The Boston Consulting Group, finds that demand in the social investment market in England could reach £1 billion by 2016, six times what it is today. BCG found that more government contracts, private consumer spending, and corporate social investment will be directed toward charities and social and community enterprises than ever before, and as a result, the demand for capital in the social sector could grow at 38% a year.
A second report, just published by the International Centre for Social Franchising, shows how some of this demand will come in the form of social franchise models, providing new opportunities for both investors and social enterprises.
Adrian Brown, Principal at The Boston Consulting Group who led the BCG research, commented:
“Social investment is clearly a market ready for growth. There is increasing interest from commercial and other investors, and growing demand for capital from social organisations. There is continued need for strong, positive action from donors, commissioners, investors and market intermediaries.”
What next?
- view the BCG and ICSF research, downloadable in pdf format from the Big Society Capital research page
- The forthcoming CDFA Conference includes a session about “What can pioneering social investment models offer community finance?“. View the Conference programme