Economy, Environment, UK

Social enterprise businesses record more growth than mainstream firms in report

Businesses which trade to meet a social or environmental mission are outperforming mainstream firms for growth, according to a report.

Social enterprise businesses now contribute more than £24 billion to the UK economy and are leading the way on diversity with two out of five led by women, a study found.

Social Enterprise UK said there are now over 70,000 businesses in the movement including the Co-op, Big Issue and chocolate firm Divine.

Around half grew their turnover in the past year, compared to a third for small and medium sized enterprises, the research showed.

Lord Victor Adebowale, chairman of Social Enterprise UK, said: “Social enterprises show us what the future of business can look like.

“These are credible businesses, competing in the open market but set up in a way that addresses some of the biggest issues we face.

“From homelessness and substance abuse to mental health and social care – social enterprises are working on the front-line creating opportunities and reducing inequalities.

“They are showing traditional businesses how social impact and profit can go hand in hand. If we’re to meet the challenges and uncertainties of the coming years, we should look to the social enterprise model for inspiration and guidance on how we can create an economy that works for everyone.”

PA Wire


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