Spending on Social Enterprises Hits Record Levels

A new report from Social Traders has revealed that spending with certified social enterprises reached an all-time high of $257 million in FY24, marking a significant increase in social procurement across Australia. This surge in spending is contributing to a more inclusive, equitable, and sustainable economy, with businesses and government agencies alike increasing their commitment to social enterprises.

According to the Social Traders Impact Report, over 20 organisations each spent more than $1 million with certified social enterprises in the past financial year. Since tracking social procurement in 2018, Social Traders has seen year-on-year growth in this area, with cumulative spending now surpassing $1.1 billion over the past seven years.

This rising investment in social enterprises has had a tangible societal impact, creating:

• 10,000 jobs and over 918,000 training hours for people otherwise shut out of work
• $88.1 million delivered in affordable and accessible community services
• 56,500 tonnes of waste diverted from landfill
• $13.1 million donated to charity partners

The report also shows that 62% of business members increased their spending with social enterprises last year, and as a result, 80% of certified social enterprises saw an increase in trading revenue. This growth highlights the broader economic and social benefits of social procurement, as businesses and government bodies continue to drive positive change through their purchasing decisions.