NORTH-East firms which are driven by social, rather than economic, goals will receive extra Government help, it was announced yesterday.
A Bank of England review of finance for social enterprises and a new social enterprise accreditation scheme are among the initiatives outlined in the Government's Social Enterprise: a Strategy for Success report, launched by Trade Secretary Patricia Hewitt.
Among the local businesses to benefit will be the Ringway After-School Care Active Leisure Scheme (Rascals), set up in Northumberland to provide childcare in rural areas; Nemco, a cooperative run by teachers to provide music services to Newcastle schools; and Theatre Cap-a-pie, a County Durham team of artists providing theatre-based education for youngsters at risk of social exclusion.
The report suggests a review of debt and equity finance available to social enterprises, including finance offered by mainstream banks, business angels, venture capitalists and community development finance institutions.
Where the review identifies gaps or barriers in either demand or supply, the Social Enterprise Unit will take forward recommendations to address them.
The report also recommends that options be explored for an accredited scheme for social enterprises similar to Investors in People, and a new award should be sponsored for the fastest growing social enterprise in an inner city area. Also that social enterprises be more involved in public service delivery, and that all Department of Trade and Industry business support programmes be opened up to them.
Ms Hewitt said: "There is now an increasing recognition that a successful business is also a responsible business.
"The North-East projects are shining examples of dynamic, successful businesses that also provide salaried training to the long-term unemployed.
"Organisations like Theatre Cap-a-pie, Rascals and Nemco are fundamental to this Government's desire to create an inclusive and growing economy.
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