Providing affordable housing and tackling homelessness are both major challenges in the UK. The lack of affordable housing means more people live in the private rented sector, where over a third of homes fail to meet the Decent Homes Standard. At the same time homelessness is rising.
Social impact investment provides finance for social enterprises, charities, and social purpose organisations to deliver specialist accommodation for vulnerable people and offer transitional housing so homeless people can make the step from temporary housing into long-term, permanent affordable accommodation. It can also help explore alternative ways of delivering more affordable homes.
Revenue is generated mainly from rental income, including Government-backed housing benefit. There is also an opportunity for social impact investment to further test the ability of innovative housing schemes to provide effective support and create social impact.
Social enterprises, charities, and social purpose organisations can help people live as independently as possible, and provide on-going support, along with a suitable, secure place to live. They also help provide quality housing and local facilities in communities and increase the affordable accommodation in the local area.
