This item was published during the term of a previous administration that ended in April 2007
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Funding package for Scotland's social economy
27/01/2003
A £6 million funding package designed to support the
development of Scotland's social economy was announced
today.
This money will be used to stimulate growth in a fast
growing sector which plays a key role in the delivery of
public policy objectives in areas such as housing,
childcare, care in the community and the New Deal.
The money could be used to:
- strengthen asset base and capability of social
economy organisations
- improve staff training and development within
social economy organisations
- support entrepreneurial innovation by social
economy organisations
Speaking at the Barnardo's 16+ project in Glasgow,
Deputy Social Justice Minister Des McNulty said:
"We are determined to ensure better public services. To
do this we must broaden the range of organisations that
provide services to the public, particularly in the most
deprived and disadvantaged areas.
"Since 1999 we have made significant advances in
tackling poverty, through initiatives such as making
137,000 homes warmer through the Warm Deal and expanding
child care provision. We have done this with help from
social economy organisations. However, we acknowledge that
there is more we can do in partnership with them, that is
why we are making this investment in their future."
The Minister also launched a review of the Executive's
policies to promote the social economy. This review sets
out a vision for a strong social economy sector delivering
quality public services alongside other mainstream
providers such as local authorities.
Mr McNulty continued:
"Good relationships between social economy organisations
and the public and private sectors are vital if we are to
use their complementary strengths.
"Social economy organisations have already shown that
they are particularly well equipped to contribute to the
front line delivery of our strategic objectives such as
renewing neighbourhoods, providing training and support for
unemployed people and helping disadvantaged communities
fight the scourge of loan sharks. We will consider how such
organisations might, in future, be asked to build on this
work."
Joan Stringer, Convener of the Scottish Council for
Voluntary Organisations (SCVO), said: "The voluntary sector
already makes a major contribution to the delivery of
public services in Scotland. This report will help
accelerate the sector's contribution to public life and
create impetus across the Scottish Executive and the wider
public sector to work in partnership with voluntary
organisations for the benefit of Scotland."
- The social economy has an annual income of about
2.2 billion pounds - around 4 per cent of Scotland's
GDP. It employs 100,000 people and involves up to
700,000 volunteers in over 44,000 voluntary
organisations, including some 22,000 charities.
- Social economy organisations are independent of the
state, have primarily social objectives and their
surpluses are reinvested for that purpose.
- The 6 million pounds funding package runs from
2003-04 to 2005-06.
Communities Scotland will contribute £3 million and the
Scottish Executive £3 million. This is from money allocated
in the 2003-06 Scottish Budget for new Social Justice
initiatives.
- Barnardo's 16+ project supports young people who
are moving on from local authority care. The project
has set up its own food co-op which is now used by many
young people aged 16 and over from Glasgow.
- Copies of the Social Economy Review are available
on the Executive website
http://www.scotland.gov.uk/library5/social/rose-00.asp