Voluntary Sector and Social Enterprise

Lord Storey Excerpts

Thursday 21st June 2012 Lords Chamber

[Lord Storey]

My Lords, I thank my noble friend Lady Scott for initiating this debate and for her very important opening contribution. Much has been said and written about the big society. I agree with everything that has been said but I struggle at times to understand what the big society really is—or, to put it another way, what the big society does that our voluntary and social enterprise sectors do not do.

Our voluntary sector must be the envy of the world, supporting people, causes and the most vulnerable, and often taking up lost causes and concerns that nobody else, including government, is able to do. We probably have the largest voluntary sector in the world and the largest number of volunteers. As a nation we can be truly proud. Add to that the incredible fundraising that goes on, which again is one of the highest per capita of any country.

We can all see power and responsibility shifting in our society—that individuals and communities have more aspiration, power and capacity to take decisions and solve problems themselves, and that we all need to take greater responsibility for ourselves, our communities and each other.

Two voluntary organisations I know very well are Clare House and Zoe’s Place on Merseyside. Clare House was named after a young girl who was terminally ill, and provides respite care for terminally ill young people and their parents. It needs to raise £3.7 million a year—yes, £3.7 million—just to keep its doors open and offer the same level of service every year. It receives government money of £353,000 from the children’s hospice and hospice-at-home grant, formerly the Section 64 money. It applies for this funding annually. Zoe’s Place cares for terminally ill babies in the most incredibly caring environment. Again, it has to raise £1.3 million a year, and receives £200,000 from the NHS. Where would our big society be without such wonderful organisations?

Many of your Lordships will have received a briefing from the Sue Ryder voluntary organisation, which is also a provider of health and social care. It cares for people with long-term and end-of-life conditions with its community and home-based services, seven hospices and seven neurological care centres. Again, I really do not know how we would manage without voluntary organisations like these or how our NHS and social services would cope without this huge voluntary contribution.

These organisations are not asking for more money. They were delighted when my noble friend Lord Howe agreed to the amendment of the noble Lord, Lord Patel, to the Health and Social Care Act to ensure the production of a fair-playing-field review so that we can understand the obstacles to non-state providers who want to provide public services. VAT and TUPE transfer liabilities are also areas that we should look at.

The voluntary sector is uniquely placed to meet local needs by building up strong community relationships, offering personalised services, meeting local needs and breaking away from the model of one size fits all.

We have heard from my noble friend Lady Barker a detailed definition of a “social business”. To me, it is simply a business which has a social purpose or a social responsibility. What do I mean by that? Let me give you an example.

The Furniture Resource Centre was established in Liverpool in the early 1990s by a pioneering, young-at-the-time social entrepreneur called Liam Black to deal with unwanted sofas that had often been dumped in back entries or, to use the local parlance, back jiggers. It collected them, reupholstered them and sold them. It employed long-term unemployed people and provided training. It approached an enlightened council and suggested a service called Bulky Bob’s—named after one of its employees, Bob. It would collect from residents’ homes bulky items which the council would previously collect and dump in infill sites. The Bulky Bob’s service would allow residents to phone up and a purple Bulky Bob’s wagon would arrive at an agreed time to collect the items. White items would go to a social business called Create, wood items to a charity and sofas to the Furniture Resource Centre. It also opened in the city centre a store called Revive, which sold the refurbished items. It provided not only an excellent service for local residents, but, more importantly, jobs and training for local people. It increased recycling and stopped dumping. Interestingly, Bulky Bob’s, which is self-financing and self-supporting, has expanded to other local authorities with service-level agreements. It also provides a bespoke service of kitting out social housing.

Social businesses and the voluntary sector are realistic about the country’s economic problems. Many fear that they will suffer disproportionately from cutbacks, which will affect their work in many of the most deprived areas of this country where their efforts are most needed. They want greater transparency in the way in which local councils decide to provide services directly or indirectly involving the voluntary sector, and how they calculate the costs and benefits of those different approaches. Let us celebrate the work of the voluntary sector; let us recognise the unique role that it has in our society; and let us work with it to help it continue to thrive in these very difficult times.