Better outcomes and better value for Government
When commissioning services for vulnerable people, the Government is increasingly looking to structure contracts on an ‘outcomes’ – or payment-by-results – basis.
We believe that this is a powerful way for the Government to understand what’s working and drive better results within key policy areas – because it gives service providers more freedom to innovate, as well as a strong incentive to over-deliver.
A social impact bond is just a structure that enables Bridges (and other investors) to support a social sector organisation who wants to deliver one of these outcomes contracts – by providing the working capital necessary to fund the programme, plus any additional management resource required to deliver the best possible outcomes for beneficiaries. This also means the Government has a wider choice of providers.
Pioneered in the UK, social impact bonds are already changing the lives of some of our most vulnerable young people in areas like education, homelessness and children’s services – while also delivering better value for public money.
The areas of added value to date [include] the continual engagement of SIB investors, beyond the initial investment […] the added layer of support from the Board, including the flexible use of funding to achieve defined outcomes; pragmatic decision-making and a rigorous information and reporting system, focused on outcomes.Office for Public Management (Evaluation of the Essex MST contract)
Providing career-focused support to disadvantaged 14-19 year olds on Merseyside
Career Connect works with disadvantaged young people on Merseyside to help them re-engage with education and improve their employability. It delivered one of the first SIB-backed programmes, as part of the DWP Innovation Fund; this was so successful that Career Connect was subsequently re-commissioned by the Government to deliver a second SIB-funded programme as part of the Youth Engagement Fund.
Therapeutic foster care for children in Manchester
Commissioned by Manchester City Council, this programme is delivered by Action for Children, one of the UK’s largest children’s charities. Action for Children will find specialist foster placements for young people who are currently living in residential care homes. The foster carers will be trained to provide multi-dimensional treatment foster care (MTFC), which helps young people with challenging emotional and behavioural difficulties move back into family settings.
Better Outcomes, Better Value: The evolution of social impact bonds in the UK
This special Bridges Impact+ report argues that there is huge potential for Government to scale up the use of outcomes contracts and social impact bonds – but it will only happen if they become simple, cheaper and faster to commission.Download now
What we offer
- Mission-aligned capital to fund programmes commissioned via outcomes contracts
- Strategic and operational support from an experienced team
- Proven track record of working with high-impact organisations
- Expertise in impact measurement, reporting and communications
- Lessons from other SIBs around the UK