Scotland calls for improved UK government support for social enterprise

The UK government should embed community benefit clauses into its programmes and re-examine the way it supports social enterprises, according to a Scottish support network.

The Scottish Social Enterprise Coalition (SSEC) launched its manifesto in Westminster yesterday and called for the UK government to shake up its support for the sector in banking, employment, procurement and the environment.

Along with benefit clauses, SSEC believes the government should examine the current tax structure to encourage greener methods of waste disposal and support better delivery of energy at a community level through the development of the national grid.

And the manifesto says government should focus on creating financial incentives to address employment issues.

It states: 'Many social enterprises, including social firms, seek to employ people with learning disabilities or the long-term unemployed, yet they find individuals are often deterred from working in order to meet the demands of the benefits system. Changes to the welfare system, such as an increase in disregarded earnings limit, could motivate a previously untapped workforce back into employment.'

SSEC chair Laurie Russell, CEO of Scottish social enterprise the Wise Group, launched the manifesto in the absence of SSEC CEO Antonia Swinson, who was unable to attend because of illness.

'Social enterprises are ahead of the rest in the business world,' he said. 'This manifesto builds on that success. There's an opportunity now for social enterprises to grow to a scale where they can deliver for the community with social and environmental business.'

Russell added that government support was 'one of the key aspects' of continued success.

He said the Wise Group, which won a £120m contract to deliver Flexible New Deal in Scotland, was able to grow and compete with the private sector and form partnerships because of the help from government.

He added: 'I would like to see that support extended and broadened with the incoming government.'

Improving social enterprises' social accounting through Social Return on Investment was another challenge highlighted.

The launch also heard from Edinburgh north MP Mark Lazarowicz and Edel Harris, CEO of Cornerstone, a social enterprise delivering care services across Scotland.

• To read the manifesto, click the pdf below