In today’s SIB News, more on Peterborough…Meanwhile on a broader point, the UK charity system continues to be discredited by ongoing revelations about paid fundraisers and the sorts of tactics which would see financial practitioners sanctioned. I am surprised the recent Despatches expose on UK tv was ever completed given that wandering the streets of central London yesterday I found it scarcely impossible to travel more than a hundred yards without being assailed by elaborate ploys from professional charity salespeople. That model is clearly broken and discrediting the institutions associated with it…so analysing the Peterborough bond to make SIBs work better is clearly the way forward…
In A First Test For Social Impact Bonds, Investors Miss The Mark For Payout
Ariella Cohen – Next City
Investors in a pioneering social impact bond project in the U.K. will have to wait another two years for a return on their gamble on good.
A long-awaited study of the U.K.‘s social impact bond pilot project at the Peterborough Prison determined that the first phase of the SIB-financed recidivism-reduction program did not meet the benchmarks necessary to trigger payments to investors. The investors had covered the upfront costs of the social service program knowing that they would only be repaid if the program met certain goals in lowering reoffending rates.