social impact bonds investing in social change

SOCIAL IMPACT BONDS – INVESTING IN SOCIAL CHANGE

Toy Eccles, Co-Founder and Development [email protected]

Social Finance is authorised and regulated by the Financial Conduct Authority FCA No: 497568

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©Social Finance 2014

CASE STUDY: RE-OFFENDING RATES IN THE UK

RECONVICTION RATE WITHIN 1 YEAR

63%

AVERAGE NUMBER OF PREVIOUS

OFFENCES

43

AVERAGE NUMBER OF PREVIOUS JAIL

TERMS

7


PETERBOROUGH SIB MODEL 3

INVESTORS

SERVICESTHE ONE SERVICE

OUTCOMESREDUCTIONS IN REOFFENDING

GOVERNMENTMINISTRY OF

JUSTICE

1

2

3

4 5

1

2

3

4

5

GOVERNMENT AND INVESTORS AGREE CONTRACT TO PAY FOR OUTCOMES

INVESTORS PROVIDE UPFRONT CAPITAL TO FUND SERVICE DELIVERY

SERVICES ARE BESPOKE TO NEEDS OF POPULATION, DELIVERED IN PARTNERSHIP, COMMISSIONED BY OUTCOMES

IMPACT (OUTCOMES) OF SERVICES IS INDEPENDENTLY EVALUATED

GOVERNMENT REPAYS INVESTORS IF OUTCOMES ARE ACHIEVED (PRINCIPAL + RATE OF RETURN)


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FLEXIBILITY RIGOUR

INNOVATIONCLIENT-CENTRED

SIBS ADD VALUE BY CHANGING THE WAY SERVICES ARE PAID FOR AND DELIVERED

5


CHANGING THE WAY WE THINK ABOUT…

TACKLING SOCIAL PROBLEMS

INVESTMENT

6


CAN WE ACHIEVE CARE WITHOUT PATERNALISM?

CHARITY GOVERNMENTINVESTMENT

MINDSET

PATHOS

GIVING

GENEROSITY

CONTRACTS AND PROCUREMENT

TRANSPARENCY

BUREAUCRACY

MEASUREMENT

FLEXIBILITY

PERSONALISATION

NO UNIVERSALITY INEFFICIENT AND DE-HUMANISED

SOCIAL IMPACT


FOCUS ON OUTCOMES ALLOWS A COMPLEX WEB OF RELATIONSHIPS TO FORM

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PARTNERSCOMMUNITY SAFETY PARTNERSHIPSPOLICEJOB CENTRE PLUSPROBATIONLOCAL AUTHORITYTROUBLED FAMILIESADULT SOCIAL CARE

HMP PETERBOROUGH

(SODEXO)

PARTNERSCLINICAL

COMMISSIONING GROUP

CRIMINAL JUSTICE BOARD

COMMUNITY PROVIDERS

HOUSING PROVIDERS

HEALTH & WELLBEING

BOARDJOB DEAL / WORK

PROGSERVICE USERS

PROJECT GOVERNANCE

INVESTORS | BLF

ADVISORY BOARD

PROJECT DIRECTOR

ST GILES TRUST SOVAJOHN LAING TRAINING MIND

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CHANGING THE WAY WE THINK ABOUT…

TACKLING SOCIAL PROBLEMS

INVESTMENT


HAS YOUR MONEY BECOME EMBARRASSING?

IF YOUR MONEY IS PART OF WHO YOU ARE, SHOULDN’T IT DO SOME GOOD?

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IMPACT INVESTING MARKET SIZE ESTIMATED AT £12.7BN


THESE THEMES RESONATE AROUND THE WORLD

UK14 SIBS

RECIDIVISM TO HOMELESSNESS

NETHERLANDSYOUTH

UNEMPLOYMENT SIB

DEVELOPMENT IMPACT BONDSSOUTH AFRICA – BUSINESS

DEVELOPMENTSWAZILAND - HIV PREVENTION

MOZAMBIQUE – MALARIAUGANDA - SLEEPING SICKNESS

LATIN AMERICA

SUPPORT FOR SIB ECOSYSTEM BUILDING AND

PILOT SIBS

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AUSTRALIA2 SIBS -OUT-

OF-HOME CARE

US3 SIBS

HIGH RISK YOUTH, EARLY CHILDHOOD

EDUCATION AND RECIDIVISM

G8 TASKFORCE DEVELOPING

POLICY TO SCALE SOCIAL

INVESTMENT SOLUTIONS

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Contact details

[email protected]

TWITTER@SOCFINUK@TOBYECC

WEBSOCIALFINANCE.ORG.UKSOCIALFINANCEUS.ORG

mailto:[email protected]

social impact bonds investing in social change

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