Displacement Displacement is another component of impact and is an assessment of how much of the outcome displaced other outcomes. Our interviews and focus groups with stakeholders and new beneficiaries revealed very limited evidence of displacement. Their loneliness, absence from or lack of work and the lack of suitable mental health services to suit their needs suggest very little displacement. NEF and others are currently working on specific guidance on displacement in relation to employment support and recommended displacement rates for state outcomes of similar projects in a range from 20 – 60%. We will opt for a median estimate of 40% (Bates, 2013:26). Table 21 Deadweight, attribution and displacement values applied to scaled up values in Adjustment Calculation Adjusted Value Deadweight £288,656 - 10% £259,791 Attribution £259,791 – (30% of 10,927 + £253,138 10,800) Displacement £253,138 - (40% of 10,927 + £244,448 10,800) SROI £244,448 Having established the impact of the WP we calculate a Social Return on Investment ratio of £2.90: £1 This means that for every pound of investment in the WP, £2.90 of social value is created. We feel this is a very parsimonious reflection of the value created. Health economists like Knapp et al (2011) suggest quantifying these impacts across all beneficiary life years, whereas we are just commenting on one year. Drop off Discounting is usually applied to those values that could be projected for longer than one year. The interest rate to be used to discount the value of future benefits should be 3.5% as recommended in the Treasury’s Green Book. For the wellbeing benefits identified in the analysis we could reduce the value by a still quite conservative 10% drop-off rate. Our thinking is that almost without exception the beneficiaries and particularly the GPs we spoke to felt the WP considerably improved the health and wellbeing of beneficiaries who were on the programme. Our data using validated items shows that over time the majority of beneficiaries make positive improvement to their lives having come from situations and
Displacement Displacement is another component of impact and is an assessment of how much of the outcome displaced other outcomes. Our interviews and focus groups with stakeholders and new beneficiaries revealed very limited evidence of displacement. Their loneliness, absence from or lack of work and the lack of suitable mental health services to suit their needs suggest very little displacement. NEF and others are currently working on specific guidance on displacement in relation to employment support and recommended displacement rates for state outcomes of similar projects in a range from 20 – 60%. We will opt for a median estimate of 40% (Bates, 2013:26). Table 21 Deadweight, attribution and displacement values applied to scaled up values in Adjustment Calculation Adjusted Value Deadweight £288,656 - 10% £259,791 Attribution £259,791 – (30% of 10,927 + 10,800) £253,138 Displacement £253,138 - (40% of 10,927 + 10,800) £244,448 SROI £244,448 Having established the impact of the WP we calculate a Social Return on Investment ratio of £2.90: £1 This means that for every pound of investment in the WP, £2.90 of social value is created. We feel this is a very parsimonious reflection of the value created. Health economists like Knapp et al (2011) suggest quantifying these impacts across all beneficiary life years, whereas we are just commenting on one year. Drop off Discounting is usually applied to those values that could be projected for longer than one year. The interest rate to be used to discount the value of future benefits should be 3.5% as recommended in the Treasury’s Green Book. For the wellbeing benefits identified in the analysis we could reduce the value by a still quite conservative 10% drop-off rate. Our thinking is that almost without exception the beneficiaries and particularly the GPs we spoke to felt the WP considerably improved the health and wellbeing of beneficiaries who were on the programme. Our data using validated items shows that over time the majority of beneficiaries make positive improvement to their lives having come from situations and
POV%20Final%20Report.docx