Proactive support for social enterprise.

In August 2011 the Group CSR committee reviewed a strategy to better support the Social Enterprise Sector.

There are 62,000 social enterprises across the UK, contributing £24 billion to the UK economy. 1

In July 2011 the RBS (Royal Bank of Scotland) Social Enterprise 100 report was published,  highlighting the top 100 growing social enterprises, and emphasising the strong revenue growth achievable in the Social Enterprise sector.

Legal & General operates predominantly within the UK market. Analysts ask us why we don’t engage with micro finance and overseas development, but as a UK-orientated business there is no commercial reason for doing so. However, our need to diversify our supplier base for security of supply and to support small to medium sized businesses, including social enterprises, is an area where we can take the initiative.

The table shows some of the interactions we’ve had to date with social enterprise to better understand the sector.

(Download XLS:) Download Excel

Financial flows

Individual business support

Retail Savings: discussions with Social Impact Bond providers (Triodos, Social Finance, Alquity) to understand what it would take to “retail-ise” these funds for consumers.

Ten Legal & General Managers across the group have been mentoring social entrepreneurs for at least 12 months.

Legal & General Investment Management (LGIM) advised on the creation of Prince’s Rainforest Bond for wholesale distribution.

Early discussions with ‘Shared Impact’ and CAF Venturesome on a more positive way that Legal & General can provide capital to the social finance sector in the development of the Social Stock Exchange and Shared Impact (Micro Finance Model).

Social Impact Bonds have been pitched to LGIM and Legal & General Property (LGP) for feedback on direct investment opportunity in the past 12 months.

Initial discussions with Legal & General procurement managers on barriers to procuring product and service from the Third Sector and Social Enterprise.

1 2005-2007 data from the Annual Survey of Small Business UK


Share this page.