Impact Investing looks at investment in funds, companies or organisations that generate a positive, measurable social and environmental impact whilst still providing a financial return. In 2009, the Global Impact Investing Network published a report, predicting that impact investing market would reach around £28billion in assets by 2020. Now, in 2021, the market has reached over £500billion in assets.
The pandemic has sparked a growth in impact investing. COVID-19 developed a public awareness of the nature around us, green spaces, and benefits of buying locally and reducing impact associated with travel and transport. This increased level of awareness inspired many people organisations and businesses to re-evaluate aspects of their lifestyle and operations. For investors, this meant responding to the growth in impact investing, and a realisation that shareholders are increasingly driven by moral ethical and environmental issues. Following the pandemic, a survey of 2,000 adults across the UK showed 22% of investors said they have plans to invest in dedicated ethical funds within the next year. When this survey began in 2016, 55% of respondents said that they didn’t know what impact investing was – this has dropped to 14% in the most recent survey.
Although some investors argue there is a trade-off between profitability and impact, there hare many examples of impact investing resulting in positive impact. Successful examples have seen money invested into organisations that provide employee support and increase productivity, like Hive.HR. Other examples, such as a residential property development project in County Durham, have created jobs within supply chains and have developed sustainable living with low-waste buildings and homes. There is a lot of opportunity to make a change with impact investing and according to the GIIN more than 88% of investments met or exceeded the expectations of the investor.
So, what could impact investing do for District Eating?
The money invested into our work can help to fund the development of our projects – which could be building a greenhouse or integrating a vertical farm into an urban space. All our projects provide measurable social, environmental and economic benefits. In terms of social benefits, we want to provide facilities for grower training and to offer community spaces for people to grow food together, learn and connect, to feel good and improve levels of health, wellbeing and community cohesion.
By using waste heat and CO2 for our horticulture projects, we showcase the significant opportunity for carbon savings, win-win arrangements (low-cost resources for greenhouse, income for waste heat producer), and cross sector benefits as we use food production. to solve energy, water, waste, food, carbon, employment and health and wellbeing challenges.
Working with District Eating is a great way for investors to be confident in a return as climate change awareness and the demand for local produce, continues to increase.
Follow our journey:
Follow our journey:
