Social investment

Social investment is how we describe our work to get the best possible social return from the goods and services we buy, and the property, parks, and housing which we manage on behalf of our residents. 

We do this by investing in our voluntary and community sector through grants and the use of property, by building partnerships with anchor institutions and businesses, and procuring goods and services to benefit our residents in a meaningful way. 

Following the Grenfell tragedy, the Council made commitments to change. The bereaved families and survivors have challenged the Council to be the best for our residents and communities. This challenge acknowledges that in the past, the Council sometimes looked at buildings, places and spaces, as something of purely financial value. The social investment approach seeks to achieve the right balance by embedding social value in decision making.

Considering social value during the decision-making process is not a replacement for evaluating the value for money or quality of our core services, or the need to raise money from our commercial property to support public services. Instead, it is something we want to consider alongside those factors in the decisions we take. 

This approach will make decision-making about Council-owned assets and resources more transparent and fair. As budgets get tighter and tough choices about resources need to be made, this will be even more important.

Measuring social value

Social value describes the variety of individual, community and other secondary benefits derived from public assets and public spending on projects and services. In Kensington and Chelsea, social value describes the multiple outcomes and impacts a project or service has made to beneficiaries, communities, local economies, and wider society. It understands each of these in terms of their impact on the quality of life, life satisfaction and wellbeing of the people, communities, and places we serve.

How we measure social value

We have introduced a new way of measuring social value at Kensington and Chelsea, which uses a combination of different approaches. This includes the HM Treasury’s Magenta Book and Green Book to manage activities and apply social cost-benefit analysis, as well as Social Return on Investment (SROI) to monetise outcomes like confidence, community cohesion and access to green spaces. 

The SROI calculation takes into account the money spent on a particular project, as well as the social value produced, in order to create a ratio. For example, libraries in 2023-2024 provided £6,090,738.86 in social value, and a return of £2.82 for every £1 spent.

Why are we introducing this?

Whilst there are plenty of examples from across the Council of projects that produce social value, a long-standing challenge has been how to properly quantify this value within the communities we serve. 

This objective form of measurement will help us to demonstrate the extent to which social value outcomes have been achieved for residents and allow us to set goals for future years. Using this data to inform the allocation of resources will ensure more transparency and fairness and help us to track our progress against the goals we set out in the Council Plan. 

Social Investment Impact Report 2023-2024

The Social Investment Impact Report evaluates the impact of activities undertaken by the Council, Council suppliers, and the voluntary and community sector in the 2023/24 financial year.

This report represents a small number of activities and initiatives that are generating social value for residents in Kensington & Chelsea, so the total impact will be greater than what is detailed in this report. However, we see the first iteration of this report as a baseline from which we can build and improve.

Through this report we aim to set the standard for how social investment measurement at the Council will be conducted. This includes robust measurement of social impact and outcomes using social value and Social Return on Investment (SROI) methodologies, which in turn will aid us in delivering on the commitments made in the Council Plan and Fairer Action Plan to focus on inequality in the borough and the Council’s role in supporting equality of opportunity. 

This approach will allow for more transparency and fairness in decision making about the allocation of Council-owned assets, resources and funding, which will become particularly critical as budget pressures increase and difficult decisions around resource allocation must be made. 

Document

Social Investment Impact Report 2023-24 PDF, 1.37 MB, 28 pages

Social investment key themes

Promoting fairness

In the 2023-2027 Council Plan, the Council committed to doing what we can to make life fairer for people who face the greatest disadvantages and challenges, so that everyone, regardless of who they are or where they live, has the opportunity to make the most of what this borough has to offer. 
We can achieve this by targeting our services to those most in need by:

• building partnerships with local businesses, voluntary sector organisations and community groups
• providing employment and skills support utilising the social value commitments of contractors, and our property portfolio.

Supporting local organisations

Our voluntary community sector, businesses, strategic partners, and statutory agencies are among the most valuable assets in our borough. Building and maintaining meaningful relationships and partnerships is one of the most impactful ways we can harness the social investment approach to provide greater community benefit for our residents and communities.

Partnerships allow us to show appreciation for the capacity, skills, knowledge, and connections that individuals and communities within Kensington and Chelsea have, recognising that the Council is not always best placed to design and deliver services or projects for our residents and communities but can often be a “broker” to support delivery by others.

Employment and skills

Empowering residents with the skills and opportunities needed for meaningful employment is a cornerstone of our work as a Council. This section of the report highlights our efforts to enhance employability and foster economic growth within the community. 

Kensington and Chelsea experiences higher levels of employment and education deprivation than the London average towards the north of the borough in Dalgarno, Golborne and Notting Dale. In addition, the unemployment rate of people with a long term or work-limiting disability is significantly higher than the London average (11.3 per cent vs 7.4 per cent).

Through targeted training programmes, career support services, and partnerships with local businesses, we are equipping individuals with the tools they need to succeed in a competitive job market. Our initiatives aim to bridge the skills gap, reduce unemployment, and promote lifelong learning. 

Health and wellbeing

There are inequalities between the health and wellbeing experienced by residents in Kensington and Chelsea. From specialised support services to activities that promote social engagement and independence, we aim to creating a compassionate and supportive community for all. This report highlights the significant positive impacts of our health and wellbeing initiatives and reaffirms our commitment to nurturing a caring and inclusive environment across our borough.

Sustainability 

Kensington and Chelsea Council is committed to creating a sustainable future for our community. This section of the report details our initiatives aimed at reducing environmental impact, enhancing green spaces, and promoting eco-friendly practices across the borough. 

Our sustainability efforts are motivated by a vision of a greener, healthier, and more resilient community. Through innovative programmes and strategic partnerships, we are addressing climate change, fostering environmental stewardship, and ensuring that our natural resources are preserved for generations to come.