British PM pushes ‘big society’ agenda

Cameron announced the creation of the Big Society Capital, which aims to social enterprises and voluntary groups to finance, British media reported.

It will be funded by £400 million of money left unclaimed in bank accounts over 15 years, and £200 million given by high street banks Barclays, Lloyds, HSBC and RBS.

The prime minister said that the institutions which create economic growth will now be helping to create societal growth.

“Just as finance from the City has been essential to help businesses grow and take on the world, so finance from the City is going to be essential to helping tackle our deepest social problems,” he said.

“Big Society Capital is going to encourage charities and social enterprises to prove their business models – and then replicate them”, added Cameron.

“This is a self-sustaining, independent market that’s going to help build the big society”, noted the prime minister.

The new fund aims to give social entrepreneurs the tools they need to solve social issues, and boost the flow of capital into the social sector.

The creation of the fund suggests Cameron has not given up on the ‘big society’ agenda, despite the departure of his author, Steve Hilton, from Downing Street.

Big Society Capital will be run independently from the government, with decision making being the job of an independent investments committee.

Former JP Morgan executive Nick O’Donohoe will be chief executive.

MOL/JR/HE

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