Investments tackling social-related issues in the UK hit £9.4 billion (US$11.7 billion) last year, despite a tough economic backdrop, up from £7.9 billion in 2021. This is according to Big Society Capital’s (BSC), a UK-based social impact investor, latest annual survey, which noted that increasing investor appetite for social investment is being driven by a wide-ranging market of social investment opportunities that deliver resilient returns, sectors displaying strong long-term demand characteristics, and many investment areas – such as social housing – being backed by government statutory funding. In 2022, £1.8 billion was committed across 1,310 investments spanning affordable homes, community food banks, and tech start-ups tackling mental health, BSC noted. Stephen Muers, BSC’s CEO, said: “The continued growth in social investment in this challenging environment is welcome and demonstrates an increasing investor appetite for creating positive change to people’s lives. But evidence shows that significantly larger amounts of private capital are badly needed to help tackle social problems. The time is now for the Government to build on this British success story and help unlock social impact investment at much greater scale – without spending a penny more.”
