Oral Answers to Questions

Debate between Oliver Letwin and Julian Huppert

Wednesday 2nd November 2011 Commons Chamber

[Mr Speaker]

Order. I am sure that when the Minister was conducting his philosophy seminars he had a rather more respectful and attentive audience, and that is what we should grant him.

[Dr Julian Huppert (Cambridge) (LD)]

Allia and Future Business are promoting social bonds to support social enterprises, such as the future business centre in my constituency. There has been a very good uptake by individuals and companies, but not by the banks. Will the Minister have discussions with the banks to encourage them to invest in these bonds, which provide a secure social investment asset?

[Mr Letwin]

We believe that social impact bonds have an enormous role to play. The Parliamentary Secretary, Cabinet Office, my hon. Friend the Member for Ruislip, Northwood and Pinner (Mr Hurd), who has responsibility for the civil society, and I recently had a round table meeting with a group of social entrepreneurs and investors who are interested in investing in social enterprise. We are encouraging that and we are taking further steps through Big Society Capital to promote the use of social impact bonds. Of course our payment-by-results systems also make use of social impact bonds.