PwC unlocks the value of St Giles Trust Peer to the Future re-offending model
Published at 11:51 AM on 20 March 2017
- PwC's analysis shows that for every £1 spent, St Giles Trust returns £8.54 in social/economic terms
- Differentiating peer advisor programme across England and Wales is core to thisreturn on investment value
- Monetary impact proven against backdrop of c£9.5-13 billion cost/year of re-offending to UK economy
New analysis from PwC says the St Giles Trust’s (SGT) Peer to the Future (PttF) offender scheme delivers a massive £8.54 return in social and economic terms, for every £1 invested.
St Giles Trust works with ex-offenders and disadvantaged people at risk of becoming involved in the criminal justice system, and supported over 18,000 people during the last financial year (April 2015 - March 2016).
With reoffending estimated to cost the UK economy between £9.5-13 billion each year1, SGT recognised the positive impact its peer programme was having on the ground in breaking the re-offending cycle. But without hard financial data, the London-based charity was finding it increasingly hard to articulate this in monetary terms to its stakeholders and investors.
Operating across England and Wales, the programme’s ability to rehabilitate prison leavers can be linked to its peer advisor team, all of whom are uniquely placed to support offenders as they integrate back into society having previously ‘been in their shoes’. Not only are they able to relate to the challenges being faced and quickly build trust, as a result of formal training they are also equipped to help prison leavers’ obtain housing and benefits, access training and career opportunities and, if needed, gain access to specialist addiction or mental health support.
Procurement and investor stakeholders were unsure if this approach offered best value for money - up-front training costs are high and it isn’t the cheapest option available - however, PwC’s Total Impact Measurement and Management (TIMM) tool was able to demonstrate a significant return on investment.
Rob Owen, CEO, St Giles Trust commented:
“While our Peer Advisor model made a lot of sense on paper, and was clearly making a tangible difference on the ground, we knew that we needed something more if we were to be able to convince even the most hard-nosed of procurement processes that the programme not only delivers on its promise, but also offers excellent value for money to the state. I’m delighted that through TIMM we can make this a highly convincing case.
“The analysis also highlighted how much we’d underplayed the impact of training across the programme. While supporting prison leavers through training and helping them to obtain qualifications that improve their employability drives the majority of our social impact, we now have clear evidence that the social value associated with our peer advisors alone is greater than the financial costs of running the programme.
“For us, it’s confirmation that if you do the right thing and fund the right activities, you can get tangible benefits.”
PwC’s TIMM analysis concluded that for every £1 invested, St Giles’ Trust’s PttF programme delivered £8.54 in return, and just as crucially, it gave the charity new information about where and how this value was created. This return on investment is a combination of:
- economic benefits;
- human capital gains such as giving the peer advisors the skills to succeed in their role and the empowerment it brings - social benefit of individuals completing NVQ level 3 advice and guidance training alone was valued at over £1.2million;
- avoidance of exchequer costs from reducing the amount spent on social security benefits to lowering the number of people reoffending and ending up back in prison; and
- wellbeing improvements through access to housing, benefits, training opportunities and jobs. £122,205 in social value gain could be attributed to securing housing following advice from peer advisors
It also concluded that around 14% of this overall value generated from the scheme was associated with the Peer Advisors themselves.
Stuart Jefford, PwC’s TIMM specialist and co-author of the St Giles Trust report, commented:
“It can often be extremely difficult for an organisation to clearly demonstrate to others the impact its actions have on its target audience and the wider community or environment. But by using TIMM to measure and value social impact, we believe you can answer even the toughest questions head on.
“As well as supporting current strategy and reinforcing existing decisions made, the outcome can help organisations hone and develop strategy so that investment and effort is directed towards those initiatives that have greatest benefit, add greatest value and, perhaps, do the greatest ‘good’.
“Through this process, St Giles Trust had a strength of conviction that the TIMM programme would deliver a strong outcome and we’re delighted that the final verdict bore that out. We’re delighted that the charity are now to use this new information to help show to potential funders that what they do really does make a difference to society.”
Notes to Editors
1 National Audit Office statistic (2014)
About St Giles Trust - St Giles Trust works with ex-offenders and disadvantaged people at risk of becoming involved in the criminal justice system. We create safer communities by reducing the number of people driven to commit crime and preventing future victims. We offer support around factors which are known to affect offending such as housing, employment and ensuring our clients are able to access the right services to help them overcome any barriers. We believe everyone is able to change their lives if they are given the right services and support.
We work across the UK in prisons and in the community to help ex-offenders and people at risk of offending successfully resettle into the community and lead positive lives. Last financial year (April 2015 – March 2016), we supported over 18,000 people across England and Wales to transform their lives. www.stgilestrust.org.uk
About TIMM - PwC’s TIMM framework is a tool which uses robust methodologies to quantify and value in monetary terms the impacts of activities across economic, social, environmental and fiscal dimensions. It can be applied at the level of a product, a project, a site or even an entire organisation.
About PwC - At PwC, our purpose is to build trust in society and solve important problems. We’re a network of firms in 157 countries with more than 223,000 people who are committed to delivering quality in assurance, advisory and tax services. Find out more and tell us what matters to you by visiting us at www.pwc.com. PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see www.pwc.com/structure for further details.
At PwC, our purpose is to build trust in society and solve important problems. We’re a network of firms in 157 countries with more than 208,000 people who are committed to delivering quality in assurance, advisory and tax services. Find out more and tell us what matters to you by visiting us at www.pwc.com.
PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see www.pwc.com/structure for further details. © 2016 PwC. All rights reserved