November 2017

The co-ops Community behind the Impact British brands...
Index 2017
IMPACT:
How co-ops are giving back 12% to communities
Almost 12% of a co-operative’s profit is given back to
communities, according to this year’s Community
Impact Index.
The Index, compiled by Co-op News, shows that
in the 2016-17 financial year, some of the UK’s top
retail co-ops gave over £5.7m to communities, or
11.86% of profits (£48.4m).
This is in comparison to its retail rivals, who
reported the equivalent of 5.9% of its profits being
given to communities.
During the same financial period, Asda, Marks
and Spencer, Morrisons, Sainsbury’s and Tesco
reported a collective community investment of
£165.2m, on a profit of £2.8bn.
Looking at turnover, co-ops gave 0.18% of revenue
(£3.2bn), while the retail movement’s competitors
donated 0.14% (£115bn). In real monetary terms,
the privately owned retailers need to give an extra
£47.2m to match the 0.18% of revenue distribution
from the co-op sector.
The co-op figures have slightly risen on last
year’s result of 10.81%, while the amount donated
by competitors has also increased from 4.56%.
This year’s report has been impacted by the
omission of the Co-op Group, which has not been
included because it reported a loss in the last
financial year and the Index has historically focused
on the percentage of profits given to communities.
Despite this, the Co-op Group invested over
£12.57m in communities. Of this, £6.9m was donated
to charities, with the rest being handed back to
good causes through cash, support for co-ops,
volunteer hours and gifts in kind. It also reported
that it has taken over £9m for its community fund,
but this will be distributed in 2017.
A breakdown of the total amount donated by
co-ops (£5.7m), shows it was distributed in the
following ways:
• Community groups – £3.45m (60.12%)
• Charity fundraising – £1m (17.59%)
• Co-operative support – £661,084 (11.52%)
• Volunteer hours – £617,711 (10.76%)
The Index also reveals that, on average,
co-operative employees spend 99 minutes
each year helping their communities through
voluntary projects. And all co-ops reported how
they help other co-ops through financial support
uRead more: Volunteering Index, see p34
The Community Impact Index represents the seventh co-operative principle, concern for
the community: “Co-operatives work for the sustainable development of their communities
through policies approved by their members.”
Written and researched by Co-operative News. The index is supported by Midcounties
Co-operative, the largest regional co-operative in the UK with gross sales of more than £1bn.
Community owned, community led and community rewarding, Midcounties works together to create a better, fairer world.
Analysis and case studies by Anthony Murray. External expert interviews by Kate Duggan.
26 | NOVEMBER 2017