BREAKING NEWS. Oh yes. Two big stories, both with a ‘green’ slant.

The first is that the Tories have just released their green paper on what they would do to/with/for the third sector if they were in government.Launched at Sunlight Development Trust, It’s the first salvo in what is intended to be a constructive and consultative dialogue between the party and the sector. I’ve only just downloaded it and am yet to digest (95 pages over lunch was beyond me), but our friends at Third Sector online have helpfully done so and come up with the 20 headline pledges.

Of particular relevance to this world:

"•    Creating a network of social enterprise zones to provide incentives for social investment in deprived communities

•    Setting up a Social Investment Bank as a wholesaler of ‘patient capital’ to a wide range of social investment institutions

•    Creating a powerful ‘Office for Civil Society’ at the heart of government to fight for the interests of charities, social enterprises, co-operatives and community groups"

Looks interesting, pretty well-thought through and pretty sector-friendly, even if a fair bit of it has been announced one way or another in the past. The OCS replacing the OTS would seem to indicate that NCVO’s advocacy of ‘civil society’ as a concept has fallen on receptive ears. More soon after several tube commute reads.

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Second big story is that ECT Group, widely viewed and lauded as one of the leading social enterprises in the movement (and certainly one of the largest) has had the recycling part of its business taken over by May Gurney, a private firm. Their press release includes the following:

"ECT Recycling – part of the ECT Group with 1,100 employees – has been
acquired by May Gurney, one of the UK’s most successful maintenance and
support services companies and listed on the London stock market (AIM).

First and foremost, it’s ‘business as usual’ at ECT Recycling – the
current strong management team will remain in place, led by Stephen
Sears, and the focus will remain on delivering service quality for its
customers and its customers’ customers – members of the public.

For some time, ECT Recycling had been exploring ways to secure its
future and to build upon its successful business formula in delivering
municipal waste services to local authorities.

Stephen Sears, who has led the development of ECT since 1980 said: “ECT
has been looking for a partner for our recycling and waste management
business with a good reputation in the local authority market place and
with the commercial muscle to help us to secure bigger contracts. This
will allow us to deliver our social and environmental objectives as
well as the financial results that are essential to continued success." 

Which leaves the ECT Group back to its original core business: the CT of community transport, having sold its various other businesses (railways, health care etc.). A few questions fall out of this, of course. Not least that ECT Recycling was a CIC, so is this the first CIC to be taken over? (and how does that work re. asset lock etc.?) Is this a strategic move separating out the two businesses, or in response to more fundamental problems? And if ECT generally needed to find a bigger partner (with "more commercial muscle") to secure bigger contracts, what does that mean for procurement/commissioning for all the other third sector / social enterprises out there? (many of whom are significantly smaller).

New Start magazine rang me this morning to comment, and I kept it largely generic (because I don’t know enough about ECT’s business / governance etc; see q’s above) but did say that we shouldn’t overreact as a sector or movement. More of this will happen over the coming years, hopefully in both directions, as mainstream business is influenced as well as threatened by ethical and mission-led competitors.