Youth unemployment social investment bond delivers return
A social impact bond aimed at addressing youth unemployment has completed, delivering a return to investors.
The SIB funded a programme by ThinkForward, placing progression coaches in schools to provide five years of one-to-one support to young people at risk of becoming disengaged from education or work. Coaches are provided by ThinkForward’s delivery partner, Tomorrow’s People.
ThinkForward said the SIB has now helped to transform the lives of 1,000 disengaged young people across 14 schools in the London Boroughs of Tower Hamlets, Islington, and Hackney.
Commissioned through the Department for Work and Pensions Innovation Fund in 2012, working capital for the SIB was provided by Impetus-PEF and Big Society Capital who invested £450,000 each.
The bond was issued on a payment by results basis, with returns directly linked to securing positive social outcomes including improving behaviour, attainment at school, and progression into further education or employment.