making impact real - The Young Foundation

“Just as it took the New Deal and the European social welfare state to make the ..... of the planned consolidation efforts between 2011 and 2015, and welfare services ...... In what follows, we complement these themes by exploring four aspects of the ...... report for the European Commission. http://www.antoniociccone.eu/wp-.
898KB Sizes 3 Downloads 156 Views
MAKING IMPACT REAL Encouraging investment into social infrastructure and public good to stimulate the European economy Fiorenza Lipparini, Seva Phillips, Filippo Addarii, Indy Johar / April 2015 oih

1

Contents Executive summary ................................................................................................................................. 4 Chapter 1 – Setting the scene: inclusive economic growth ................................................................... 5 1.1 Growing inequality and its economic impact ................................................................................ 5 1.2 The European context and the new European Commission Investment Plan ................................ 7 1.2.1 The European context .............................................................................................................. 7 1.2.2 The opportunity of the European Fund for Strategic Investments .......................................... 8 Chapter 2 – Private capital for social investment and investment in the public good: why (and how) it works..................................................................................................................................................... 11 2.1 Social investment ........................................................................................................................ 11 2.1.1 The consequences of inadequate social investment ........................................................... 11 2.1.2 Specific social investment policies and their macroeconomic implications ..................... 12 2.1.3 Private capital in social investment ..................................................................................... 14 2.2 Investment in public good........................................................................................................... 15 2.2.1 The case for public good investment .................................................................................... 15 2.2.2 Public good investment in practice...................................................................................... 15 Chapter 3 – Investment in systemic social innovation ........................................................................ 19 3.1 The partnership of public, private and third sector..................................................................... 19 3.2 A typology of social innovation................................................................................................... 21 3.3 Systemic social innovation in practice ...................................................................................... 22 Conclusions .......................................................................................................................................... 25 Recommendations............................................................................................................................ 26 Appendix 1 - EU countries’ social expenditure and share of social investment ................................... 28 Appendix 2 - The EU impact-finance market: Germany, Italy, France and Poland ................................. 31 Appendix 3 - The role of government in catalysing impact investing: the UK case .............................. 33 References............................................................................................................................................ 46

2

Acknowledgements and Methodological note The present study, sponsored by Unisalute – Unipol Group, was based on a wide bibliographic review and on data and insight collected through semi-structured interviews with members of the Advisory Board and expert practitioners. Our gratitude goes to all the interviewees and experts, listed here below: Members of the Advisory Board: Gwendolyn Carpenter (Danish Institute of Technology); Fiammetta Fabris (UniSalute – Unipol Group); Chris Handy (Accord Group); Giovanna Melandri (Human Foundation); Heather Roy (Social Platform); Simon Ro