Social Finance announces today that both the Teens & Toddlers and Adviza Social Impact Bonds have performed above expectations and delivered outcomes sufficient to return investor capital earlier than expected. Full results will be published in 2016 when the projects come to an end.
In October 2012, the Department of Work and Pensions Innovation Fund awarded two Social Impact Bond contracts worth £7m to fund positive social outcomes for young people on the Adviza and Teens & Toddlers programmes. The Social Impact Bonds are managed by Social Finance. Unlike typical social service delivery, the funding for the Social Impact Bonds is provided at risk by social investors whose financial return is aligned to the positive social impact of meeting pre-agreed educational, training and employment outcomes.
Teens & Toddlers and Adviza deliver innovative programmes to address the root causes of young people becoming NEET (not in education, training or employment). The two projects work with 14-15 year olds who are identified as having on average three to four risk-of-NEET indicators, including poor school attendance, disruptive or antisocial behaviour, family or mental health issues and low educational attainment.
Social investors provided the money needed to run the programmes and are rewarded by the DWP if the adolescents achieve a number of defined targets, including improved attitude, behaviour and school attendance, educational and life skills qualifications and employment. Outcomes payments from the Innovation Fund may be claimed over the three and a half years of the programme.
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