Social Impact Bonds
Social Impact Bonds are an innovative new idea for financing charities, devised by financial advisers Social Finance. Their plan is to raise debt investment from commercial sources to invest in preventative social programmes. The return is paid by governments who make savings from improved social outcomes. Their pilot scheme will fund schemes to reduce reoffending. This offers direct savings to the government through a reduced prison population, but also wider social benefits. There are a number of schemes looking at different ways of financing charities using “social finance” and this looks like one of the most interesting. READ MORE