A new social impact advisory group will provide recommendations on ways to effectively mobilise social impact capital, the government has announced.

HM Treasury and the Department for Culture, Media and Sport have today announced the formation of the group, which will be chaired by Dame Elizabeth Corley, chair of the asset management company Schroders and the former chief executive of Allianz Investors. 

The group will provide recommendations on ways to effectively mobilise social impact capital, including impact investment vehicles, and will provide views on existing work across government on impact capital, the government said.

“The membership of the advisory group brings together impact investors and experts across the impact investment industry and civil society,” it said.

The government said the group would make recommendations for the objectives, design and intended social outcomes of one or more impact investment vehicles that are due to be announced at the spending review in June. 

It will also review existing work on impact capital across government and provide views on the long-term future and direction of this work.

“This work will complement but not replace the government’s broader work on the impact economy,” the government said.

Stephen Muers, chief executive of social investment wholesaler Better Society Capital, said the launch of the group was a “significant step forward for the social impact investment sector”. 

He said: “This development reflects the government’s growing recognition of the vital role social impact investment plays in addressing the UK’s most pressing social and environmental challenges. 

“The group is set to drive innovation and capital towards an investment ecosystem that redefines traditional paradigms.”

Muers said the group’s formation reinforced the “powerful message” that financial returns and social impact were not mutually exclusive.

“Under Dame Elizabeth Corley’s leadership, the group brings together a diverse range of impact investors from some of the world’s biggest banks and funds, civil society and industry experts to support the government in creating the right environment for impact investment across the UK,” Muers said.