Growing the social economy with a new rainbow parliament
Posted: 21 May 2026, in News
The recent Holyrood election result means both stable continuation as well as dramatic change.
The SNP is by far the biggest party again but this comes alongside a new six-party parliament and, in particular, a Green and Reform surge.
But what does this all mean for social enterprises, cooperatives, charities and community owned enterprises?
There are certainly big opportunities with a huge intake of brand new MSPs.
Some are former MPs, local Councillors and activists while others are completely new to politics, including former business people, third sector employees, police and oil industry workers.
This means opportunities to influence and educate newly elected members about the inspiring, innovative work our organisations do across urban and rural Scotland.
This must include clear information and evidence about our social and economic contribution – plus the solutions we provide to the cost of living crisis, housing, health and social care and much more.
A new parliament always provides an opportunity for a refresh and review of government policies, practices and regulations, as well as personnel.
The new Minister for Business and Fair Work is Tom Arthur, with Shirley-Anne Somerville as Cabinet Secretary for Social Justice and Housing.
The Cabinet Secretary responsible for Public Service Reform is Ivan McKee, alongside other Ministers of relevance to our various sectors.
While we’ll see policy continuation since the last parliament we’ll also see new manifesto commitments appearing in the next Programme for Government.
With a minority SNP administration this will mean other party manifesto pledges getting a chance to make it into the programme too, another opportunity for us to influence.
For social enterprises, cooperatives and other inclusive, democratic businesses, we’ll be paying close attention to the implementation of the new Community Wealth Building Act.
In addition, we’ll need to ensure that the vital IDBM report on growing the social economy is put into practice, as part of a new long-term strategy for the broad social economy.
We also need to drive forward the development of Fair Work, tax justice, land reform and procurement, integrated with Community Wealth building, with climate action running through every policy area.
Another area that needs urgent action from the last session is in local democracy, something that affects everyone in Scotland.
Reforms need to ensure that ordinary people are directly empowered at a very local level in key decision-making, something that can have a positive impact on our sector too.
Of course, underpinning all of this must be strong financial foundations. Direct, sustained multi-year funding and substantial investment into local communities is essential.
Politicians and officials should be encouraged to think differently and more creatively to spend in more effective ways, redirecting more towards our social economy.
How do we reform our tax system to do that? What innovative financial tools can unlock more money? What role will the other political parties play in making these changes happen?
Change is particularly urgent in the context of a particularly challenging environment for Scotland’s public finances, something all parties seem to understand.
Finally, we must be mindful of the sometimes toxic nature of our political debates.
As social economy organisations we work directly with migrants, young people, ethnic minority groups, disabled people and the LGBTQI+ community.
We need to ensure that policy rhetoric and practice is always about supporting and not scapegoating or demonising our fellow citizens.
The new political landscape is something that everyone working in the world of social enterprise, charities and the social economy need to carefully navigate.
If we all work together and provide strong evidence of our economic impact, alongside sustained, clear messaging, the opportunities will surely be there.
Duncan Thorp, Policy and Public Affairs Manager, Social Enterprise Scotland