A great day for SIBs, a big fillip of interest in Australia and early statistics which are simply fantastic for the Peterborough bond. Whereas in time of recession, the nation is seeing re-offender rates up 16% the Peterborough programme funded by SIBs has seen a collapse of 6% in re-offending rates.
Absolutely fantastic stuff. Keep up the good work not just for Peterborough but the whole of the SIB community!!
Early figures suggest that the Peterborough social impact bond has led to a 6 per cent reduction in recidivism over two corresponding two-year periods, against a 16 per cent increase nationally.
Reconviction statistics published by the Ministry of Justice today track six months of reoffending behaviour and are compared to an historic baseline.
The figures show that there has been a more than 6 per cent decline in the frequency of reconviction events per 100 HM Peterborough prisoners in the period 2010-12 compared with the earlier two-year period 2008-10.
This compares to a 16 per cent increase nationally from 2008-10 to 2010-12 – from 69 to 79 reconviction events per 100 offenders – and represents a relative decline of 23 per cent overall.
The published figures include most of the short-sentenced prisoners on the Peterborough social impact bond pilot.
The Benevolent Society is teaming up with Westpac Institutional Bank and the Commonwealth Bank of Australia to issue Australia’s second Social Benefit Bond (SBB) to fund the establishment of The Family Preservation Service.
The service will focus on reducing the number of family breakdowns and children placed in the foster care system in New South Wales. The bond is expected to appeal to investors looking for socially responsible investments, and to superannuation funds offering ethical investment options.
The first SBB in Australia – the Newpin SBB – was issued earlier this year by UnitingCare Burnside, with the NSW Government guaranteeing the investment provided certain goals were met.
The Benevolent Society’s SBB differs from the Newpin bond in that it has a two-tranche structure: $7.5 million of the $10 million SBB will be guaranteed by the NSW Government, based on agreed outcomes being met.