3 out of 4 Social Entrepreneurs affected by Budget cuts
A survey carried out by UnLtd has revealed that the majority of social entrepreneurs are unsure of what to expect following the emergency budget announcements last week, with 3 in 4 expecting their venture to be affected.
With news of the Government planning spending cuts of £30bn by 2014/15, 39% of respondents are feeling less confident as a result, with 45% believing it will create a negative effect on their venture.
Social entrepreneurs expect the key taxation measures that will effect them most will be the increase in VAT to 20%, with 69% expecting the rise to have a negative effect on their venture. Some believe that the emergency budget announcements will be worse for early start-up social entrepreneurs and the less well-off who will now have less funding or resources available.
The survey also reveals the Coalition Government is met by a general sense of uncertainty with 44% not knowing if they will affect their venture for the better or the worse or indeed make any difference.
Despite these uncertainties and the challenges ahead, the survey indicates the value of social entrepreneurship will be even greater; presenting an opportunity for determined, creative and resourceful social entrepreneurs prepared to take risks and respond to a changing environment.
