Big Society Capital to attract £3bn worth of social investment by 2015

Big Society Capital (BSC) is expected to attract £3 billion worth of social investment by 2015.

Such is the opinion of Nick O'Donohoe, chairman of the organisation, who was speaking at the JP Morgan Charities Seminar 2011.

He announced in his speech that the plan to get £4 for every £1 it invests from its starting point of £600 million will generate £3 billion worth of social investment over the next four years.

Mr O'Donohoe added that BSC will develop a strong social investment intermediary sector as this is currently undersized.

"Ninety per cent of social investment funds are currently channelled through nine intermediaries," he said.

"There is a complete lack of a developed intermediary sector for social investment, while there are thousands of these organisations in the financial sector."

This means that BSC will invest in social investment intermediaries who will then invest in charities and social enterprises.

In August, the government made its first investment through BSC to the Private Equity Foundation, which helps disadvantaged young people into education.
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