Funding news

Last chance for views on the proposed social investment bank - 2 October 2009

In July the Government launched a consultation into the design and functions of a Social Investment Wholesale Bank. The consultation period will close next week on 07 October 2009.

The Government’s consultation proposes that the Bank would act as a sort of social investment version of the Bank of England.  It would not lend money directly to charities or social enterprises; it would lend to other ‘retail’ lenders who would then provide the finance.  This could be private or non-profit lenders, or even charitable grantmakers who might want to invest in social enterprises, for example.  The types of finance it could help support would not just be loans, and could include a range of other products, such as equity (buying shares essentially) or ‘quasi-equity’ investments (where capital investment does not result in ownership) for example.

The consultation presented a range of possible functions for the bank, such as attracting money from other investors, and helping raise funds for existing social investors.

The consultation document is available via: http://www.cabinetoffice.gov .uk/third_sector

Contacts

Charlotte. Godber
Phone: 0207 276 0311
charlotte.godber@cabinet-office.x.gsi.gov.uk