Introduction

This report explores how the solidarity economy can be resourced to build community power by reorganising wealth. It defines solidarity economy organisations as those prioritising social and collective value over profit, and highlights their role in addressing inequality, supporting marginalised communities and fostering democratic ownership.

Process

The research combines a landscape mapping exercise, stakeholder interviews and surveys with practitioners across the solidarity economy. It uses participatory and practitioner-informed approaches to capture lived experience, funding challenges and systemic barriers. The methodology centres community perspectives and examines both qualitative insights and structural dynamics within existing financial systems.

Findings from mapping, interviews and surveys

The findings show that solidarity economy organisations are significantly under-resourced despite delivering substantial social value. Funding is unevenly distributed, with grassroots and marginalised groups facing the greatest constraints. Many organisations rely on short-term grants, limiting stability and long-term planning.

Conventional finance models are often unsuitable, as they prioritise financial returns and impose rigid requirements. Respondents report that repayable finance can create pressure that conflicts with their social missions. Administrative burdens, complex application processes and lack of accessible funding pathways further restrict access.

The research also finds limited recognition and visibility of the solidarity economy, with many actors not identifying under this label. This reduces opportunities for collective advocacy and tailored funding support. Additionally, dominant economic systems continue to channel capital towards extractive models rather than community-led initiatives.

There is diversity in perspectives on investment. Some organisations are open to blended or patient capital, while others reject investment structures that compromise their values. Overall, organisations report being most effective when supported by flexible, non-extractive funding that aligns with their purpose.

Recommendations

The report recommends a shift towards redistributive and reparative funding approaches that prioritise community ownership and control. It calls for increased grant-based funding, alongside flexible and long-term financial support that does not require financial returns.

Funders are encouraged to adopt trust-based practices, simplify application and reporting processes, and recognise non-financial outcomes such as social impact and community wellbeing. Supporting ecosystem infrastructure, including networks and capacity-building, is identified as critical to strengthening the sector.

The report also emphasises the need to improve visibility and shared identity within the solidarity economy to enhance coordination and access to resources. Overall, it advocates for systemic change in how wealth is allocated, moving away from profit-driven models towards approaches that sustain community-led economic activity.