The Social Economy and Social Enterprise in Leicester

What is the Social Economy?

The Social Economy includes the `Third Sector`. It forms a significant part of Leicester’s8217;s economy alongside the Public first and Private second sectors. There are over 1,050 community, voluntary and charitable groups and organisations with at least 108 social enterprises including co-operatives based in the city. There are also national employee trusts, co-operatives and mutuals including John Lewis Partnerships, Midlands Co-operative Society and Nationwide Building Society all of which have a high profile in Leicester.

The Social Economy includes Social Capital, which is vital for a healthy and cohesive society. Successive Governments have recognised the need to grow and protect Social Capital.

Structures of Third Sector Organisations

There are a number of legal and organisational structures. Attached, is a structure chart for Social Enterprises reproduced by Leicester City Council with the kind permission of TPPLaw (See Attachment – Legal Structures For Social Enterprise.pdf).

Trade Unions

The Social Economy includes Trade unions. Trade unions are organised groups of workers who come together to support each other in the workplace, negotiating with employers to improve pay, terms and conditions and ensure fair and equal treatment. Unions provide members with individual advice and representation, and many also offer their members opportunities for personal and professional development (See Useful Links - `Trade Union Congress`, below).

Globalisation and Poverty

Building on its rich cultural diversity and global links, Leicester City Council has a long track record of international development. For example, the city council has been involved in three successive social economic development projects in India as follows:

`a. Local authority facilitated sustainable development with poor communities`, 2008 to date. This Commonwealth funded project is a partnership between Leicester City Council and Rajkot Municipal Corporation with Ludhiana Municipal Corporation (See attached: Leicester Ludhiana Rajkot HindustanTimes.jpg). This project compliments Rajkot’s8217;s Poverty Alleviation Programme to remove its slums with their 200k residential population in the next thirty years.

`b. Community development approach to clean water supply in Rajkot`, 2005 to 2007. This Commonwealth funded project resulted in a fundamental change to the way Rajkot operated. (See Attachment:: Leicester Rajkot Clean Water.pdf).

‘c. Environment Services and Waste Management in a Social Economy Framework', 2002 to 2005. Leicester was a partner in this European Union funded `War on Waste` project, with the NGO Clean Air Island, Greater Mumbai Municipal Corporation and Dublin City Council. Link: Clean Air Island – See useful links.

Leicester Social Enterprise Development Partnership

The city council facilitates the Leicester Social Enterprise Development Partnership (LSEDP), a forum of organisations dedicated to the support and development of social enterprises including co-operatives in Leicester.

· Business Link.

· CaSE.

· Leicester City Council.

· Voluntary Action LeicesterShire.

Social enterprises are distinguished by their participatory ownership and management structure and are defined as businesses or organisations with primarily social objectives whose surpluses are principally re-invested for that purpose in the business or community, rather than being driven by the need to maximize profit of shareholders and owners.

For further information about the attendees of the LSEDP, see useful links, below.

Community Asset Transfer

Leicester City Council looks at proposals for community asset transfer on their individual merits (See useful links, below).

Financial Inclusion

Leicester City Council is facilitating seminars in financial education through the Money Advice Service. For an update on the next sessions contact Mark Mizzen on Tel: (0116) 2528656, or, email: mark_mizzen@leicester.gov.uk

Future Jobs Fund

Leicester City Council has supported the Third sector through the Future Jobs Programme in Leicester and the County. Over 90 community, voluntary and charitable organisations including social enterprises have been supported.

Support for the Social Economy in Leicester

Leicester City Council provides support to many Third Sector organisations through funding programmes and its contract with Voluntary Action LeicesterShire (VAL).

Leicester City Council also co-manages with VAL the Leicester Compact, an agreement between the public sector and the voluntary and community sector to, `…improve their relationship for mutual advantage and community gain`. The compact was launched in January 2008. Since its launch most the public agencies have signed-up and over 40 Voluntary and Community Organisations in the city (See link, below).

Useful Links:

Trade Unions – See Trade Union Congress`:www.tuc.org.uk/

Leicester City Council – Benefits Advice Line:

Tel: 0116 225 4888

Leicester City Council – Policy for Transfer of Assets

for Community Governance: www.cabinet.leicester.gov.uk:8071/mgConvert2PDF.aspx?ID=12217

CaSE: www.case-da.co.uk/

Voluntary Action LeicesterShire: http://www.valonline.org.uk/

Leicester Compact: http://www.leicestercompact.org.uk/

Clean Air Island: http://www.cleanairisland.org/action.html

Money Matters: http://www.moneyadviceservice.org.uk/healthcheck?utm_source=LeiCitCExt&utm_medium=Website&utm_campaign=RDN-KW

For further information contact: