In a country that sometimes seems conditioned to believe there is only one way of doing business, it can be tiring shouting from the rooftops that ‘other business models are available’. Therefore it is to be welcomed that the recent UK Government Small Business Strategy listed that one of its key actions was to grow the co-operative and mutual sector. There will have been many other small business strategies published by previous Governments, business groups and think tanks over the years that overlooked the fairest, most productive and most robust small business model: co-ops. This was certainly the case in 2022, when the previous Government produced their plan.

The Co-operative Party work to promote co-operatives and mutuals because of the benefits they give their members and the communities in which they exist. Already in this Parliament we have seen new invigorating energy for those of us who believe a greater mix of ownership in the economy is a good thing; a view that is shared by practically all but previously acted on by far too few. We have seen regulators begin working towards an encouraging environment for co-operatives and mutuals ahead of a report to Parliament later this year. We have seen a new business-led Co-operatives and Mutuals Growth Council form, with input by key departments like the Department for Business and Trade and the Treasury. We also have new Law Commission work seeking to ensure that this country has modern appropriate legislation for co-operatives and mutuals.

The Small Business Strategy repeats this commitment and identifies this as a key action within the strategy. There is welcome identification of the need to better support business transition to co-operatives and mutuals, and commitment to work towards regional mutual banks amongst more. It is right that diverse business models form part of the strategy, but we as a country have a long way to go to ensure that we are taking all action to raise the model’s visibility and ensure parity of support. Other countries are still way ahead of us in this work. There is a saying which goes along the lines of ‘you can only be what you can see’, and for far too long our country and its business infrastructure has not chosen to show others the strengths and the know-how of diverse business models. This is a theme that the Small Business strategy itself picks out. It signposts to future work of the Department with an expected Call for Evidence on this growth theme happening later in the year.

At the Co-operative Party we are always going to want more: it is clear to us that there is much more to achieve in order to achieve substantive growth. Whether that be access to finance, education, development support, officials support and understanding, regulation and positive incentives to co-operative growth. However, proactive consideration of co-operatives and mutuals as a business model like others, such as the case within the Small Business Strategy, is a positive step. Not just because they spread power and wealth more fairly, strengthen communities, and build resilience against future shocks – but because, quite simply, co-operatives and mutuals are better businesses, and as the Strategy itself recognises, they last longer than most.