There is a growing set of needs for children who are in care or who are at the edge of care, with long-reaching impacts into health, the justice system, education, employment and beyond. The current Local Authority children’s care system is costly and is not providing the best long-term outcomes for these individuals.
Acknowledging that Local Authorities have less capacity to engage in detailed co-development and are constrained by procurement regulation EBSI offers a ready-made social investment model – a Social Impact Bond - that is easier and quicker to procure.
EBSI’s social impact bonds use tried and tested evidence-based interventions and also bring together experienced service delivery organisations and social investors. Using their deep expertise and through analysis of the Local Authorities’ data, EBSI will understand the needs within each Local Authority’s children’s services to bring the most appropriate intervention. The ultimate aims are to achieve the best outcomes for the individuals and the greatest value for the commissioner.
Every Social Impact Bond that is commissioned will have standardised outcome metrics. It is the achievement of these outcomes that will be reported to demonstrate the ultimate impact of our investment.
We have invested £350,000, through a combination of equity and debt to help EBSI grow its capacity and develop its unique model further. Rather than investing in one SIB, investing in EBSI in this way seeks to catalyse a number of SIBs every year, increasing the provision of services to create positive outcomes for children in and at the edge of care. Each of EBSI’s SIBs will also require investment from social investors, multiplying the overall amount of investment drawn into the market.
Our investment enables a pilot of an innovative model that has potential to influence existing methods of care commissioning and is very scalable. If successful, overcoming some of the barriers to procurement and streamlining the process will help accelerate the number of social impact bonds.
Supporting EBSI will also contribute to building a more diverse, robust landscape of organisations with deep social impact bond expertise.
- Big Society Capital's investment: £350,000.
- Type: Loan and equity
- Arranger/Manager: Triodos