Social Impact Bonds
Evidence Strength
Insufficent evidence available
Limited reliable evidence
Some reliable evidence
Considerable reliable evidence
cost effectiveness
Insufficent evidence available
Barely cost effective
Reasonably cost effective
Highly cost effective
impact
Insufficent evidence available
At least one study shows negative impact
At least one high quality study shows negative impact
Mixed or insignificant impact
Multiple studies show positive impact
Multiple high quality studies show positive impact
Social Impact Bonds are a 'payment by results' model of financing for the reduction of homelessness and related outcomes.
The primary goal of homelessness social impact bonds for is to reduce the number of people experiencing homelessness. Related outcomes may be improving health and employment, and to promote reconnection to place of origin.
How is the intervention meant to work?
Payment by results shifts the ‘risk’ of not achieving results from the funder to the implementing agency and so should increase the likelihood that the funder’s objectives are achieved.
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Social impact bonds improved housing stability and increased reconnections.
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There is one study from the United Kingdom (London).
Rough Sleepers
The intervention targeted entrenched rough sleepers.
Various
The social impact bond was intended to achieve greater housing stability, reconnection with no right to remain in the UK, promote employment, education and training, and improve health and wellbeing. The one study of social impact bonds only reports findings for housing stability (reduced rough sleeping and sustained stable accommodation) and reconnection, finding a positive impact on both.
Be clear where responsibilities lie
Shared understanding, good communication, and clarity of roles and responsibilities promote effective partnership working between agencies and a more joined-up service for service users. If you are implementing a social impact bond programme, ensure your team are clear about the boundaries of their role and that of the service. Think, for example, about whether service users become the responsibility only of the social impact bond project or the project provide a supplementary service.
Set realistic targets
If you are commissioning or delivering a social impact bond project, ensure that the project has clear objectives and that targets are realistic to avoid compromising service quality, innovation and engagement. Sub-groups within the service user population may have different needs, so financial returns may need to be tied to different success rates.
Invest in maintaining a skilled workforce
You will want to ensure that your team is well-trained, persistent, flexible and empathic. They must also be skilled at inter-agency working because staff in social impact bond projects typically need to work alongside well-established, long-term projects.
Retain the full engagement of your team for the duration of projects
The short-term nature of social impact bond projects means that towards the end of the project your team may be looking for other employment options. Think about how best to maintain an engaged team right to the end to enable them to assist service users with access to other support after the project finishes.
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