Will 2014 be the Year of the Co-operative Pub?

Last year saw an important moment for Plunkett and all those who support community co-operatives. It was the year that more communities asked about saving their pub than saving their village shop. Shops continued to show growth, but this overtaking in demand speaks volumes.

It raises the prospect that 2014 could see more Co-operative Pubs opening than Community-owned shops. This isn’t certain. Pubs are harder to save than shops and more attempts fall by the wayside. But we will be doing everything in our power at Plunkett  to make it as easy as possible for communities to recognise the role that a pub plays in the vitality of their community and to secure its long term future.

Even more important is the message it sends that community co-operatives are becoming more diverse. Shops are the most common form, but with pub numbers on the rise, alongside cafes and other models, it show that the sector is maturing. To us, the future is one which doesn’t push one solution, be it shops or pubs, but one in which each community can ask “What matters to us round here?” and to then be able to use community ownership to find a co-operative way to secure its future.

Our highest honour ever

Dame Pauline Green, President of the International Co-operative Alliance, offers her congratulations on the award, together with South Africa's Deputy Minister of the Department of Trade and Industry, Ms Elizabeth Thabethe.

I’m not often left speechless, but I was when I was informed that the Plunkett Foundation had been awarded the Rochdale Pioneers Award by the International Co-operative Alliance. It is simply the most prestigious award that the Co-operative Movement gives and had never before been given to an organization (the 13 previous laureates had all been outstanding individuals).

Collecting the award in Cape Town , in front of well over 1,000 people from 100 countries, was certainly a humbling task. This was added to by a congratulations message from the Prime Minister being shown on giant screens. 

I said that the award was for three groups of people. Firstly, the amazing group of people that work for Plunkett now or serve on its Board. Secondly, the generations that had gone before us to make us what we are, outstanding co-operators such as Margaret Digby and Edgar Parnell. And finally, it was a recognition of Sir Horace Plunkett and his circle that created the Foundation.

As someone that helped to create the International Co-operative Alliance, Sir Horace would have been deeply moved to receive the award. He once said of the Foundation "If I can look back from the other world, I am sure I shall see what will greatly please me.” I’m sure that he was smiling that night in Cape Town.

Mary Portas tells Plunkett three things every community-owned shop should know

I had the pleasure of attending Co-operatives UK's Audience with Mary Portas. I asked her for one piece of advice that she'd give to a community learning to become retailers by owning their own village shop. In true retailer style, she gave me three for the price of one.

Service
Create a totally personal service for your customers. We all want to shop with people who connect with us. So be someone who knows their customers.

Specialise
Be someone who knows what they are selling. There are too many faceless retailers.

Shopping experience
Too often the small try to copy the big. Be something that reflects who you are.

The Big Society and the Life of Brian

It was a great pleasure to be part of a lunchtime seminar for Defra civil servants on understanding social enterprise in a Big Society world run by Defra's Social Enterprise Strategic Partnership. My colleagues dealt with explaining about Social Enterprise and then left me to explain the Big Society connection.


I said that I approached this with some caution as most presentations I heard from organisations to Government on the Big Society reminded me of the crucifixion scene in Monty Python's Life of Brian. Namely, that wonderful moment when Brian doesn't hear the Centurion ask who is Brian as he has been given a pardon. So when the Centurion asks who Brian of Nazareth is, Brian's neighbour replies "I'm Brian." Then the person next to him says that he is Brian and so it goes in, ending with the wonderful claim "I'm Brian and so if my wife."


So I decided not to join the throng of claiming that we were the true Big Society, but set out instead where we did play a role. Rather than trying to reinvent it, I took the three main headings of localism, volunteering  and philanthropy.


The challenge of Localism remains that it means different things to different people. As Steve Wyler of Locality has said, for some it ends at the Town Hall door. We engaged with Big Society when it reached actual communities. Social enterprise generated sustainable enterprises which have the potential to unlock community energy today and to continue to deliver for years to come. Defra needed Localism to be strong at the community level if it was to progress its own objectives.


Promoting volunteering was not easy in a time of austerity, but the time had come to end presenting it as the amateur option. Big Society thinking already challenged the traditional thinking that separated the public sector and enterprise. Social enterprise also was able to combine enterprise with volunteering. For instance, community-owned village shops were highly stable enterprises, but used over one million hours of volunteer time. Supporting such crossovers between volunteering and enterprise was an opportunity for Defra.


Philanthropy was the least attractive of the three words for social enterprise, but still relevant to us. We often challenged grant reliance, but our alternatives tended to be about unlocking resources from a range of places, not just traditional philanthropy. Community shares, equity investments, bonds and social impact bonds were all examples of social enterprises bringing new resources to bear on solving problems. Whilst we had changed, Defra needed to think about how it might support such new funding approaches.


If Big Society was a priority across Government, it was a real opportunity in Defra. Many of its priorities could only be made to work through Big Society approaches. Social enterprise alone was not the Big Society, but a Big Society without it would be a much poorer place.

This is not a shop

One of my fond memories of last year was meeting the chair of a shop that I'd been to the launch of. It was a great shop, much needed, and had been opened against all the odds. He spent several minutes pouring out all the had improved in the village thanks to their work. Then, suddenly and in mid-sentence, he stopped himself as he realised that he hadn't mentioned the shop once. He paused and said "It's not about running a shop, is it?" I replied, "It never was, we just didn't tell you at the time"

That magic moment when community organisers go beyond solving the immediate problem to seeing that this the way to see all your community needs and challenges as being in your own hands to solve happens so often. Sometimes it can take years to come. So I was delighted last Saturday when I visited Trefeglyws in Wales for their official opening. I congratulated them on the shop only to be told "this isn't a shop." They were right at two levels, alongside the shop were a petrol station, cafe, meeting space and more. But at a higher level, they were right too. It was a vision of what their community needed and a vehicle for constantly refreshing that vision in the future. The Cwm Trannon Community Co-operative was a great inspiration that it is possible to start with that level of vision rather than hoping it comes in the future.

Extending our impact

Congratulations to Kirdford Village Stores  in Sussex for winning the Daily Telegraph's 'Best Village Shop in Britain' award. It is always a pleasure to see community-owned shops beating all-comers to take such a title.

By coincidence, I had the pleasure of visiting there a week before. All I can say is that Sue and her team richly deserved the award. There was no doubt that they were doing a great job delivering a fantastic service to their community. But there was something else that struck me there, and in visiting the neighbouring stores. The passion that community-owned stores have for sourcing local food is now at a stage where it isn't just the store they save, but a whole variety of local businesses.

That was visible in Kirdford. It was also clear nearby in Lodsworth. I'd been there when the store opened, restoring a service to a village which had been without a village store for 23 years. This time, it was just the store that was thriving. THREE food businesses had opened up in the village and were supplying the store. In one case, the store was delivering the goods to other local stores. I saw the same thing in Strood Green and Hambledon; communities taking control not only of their store, but of their local food system.

We've been supporting local food in village stores through the Making Local Food Work programme for some time thanks to the BIG Lottery, but it was great to see a real sea change at a local level, not just for the store, but for the local economy.

Back to school to discover co-operation

One of the great joys of being part of the international co-operative movement is that one lifetime is far too short a time to know every form of co-operative action around the world. New experiences come along with a wonderful regularity.


I had a great example of that last week when I visited Sir Thomas Boughey High School & Co-operative Business College near Stoke-on-Trent. It is one of the pioneering Co-operative Trust schools developed thanks to the work of the Co-operative College. I expected to find its structure to be co-operative and exciting; it was. School membership was open to parents, learners, staff and the community. But even more exciting was the learning going on there.


Its view of co-operation was drawn from around the world. It captured the richness of co-operative action from all parts of the globe, not just a traditional UK perspective. It was rooted in co-operative values, which had been the focus at the schools even before the co-operative structure. Many decades ago I was part of the group of co-operators that would run co-operative projects in schools and dream of what could be if it became a whole school activity. At Sir Thomas Boughey I saw that dream becoming reality.


If one lifetime isn't long enough, but the early start that the learners at the school are taking will give them a head start on the rest of of us in understanding the wonderful diversity of co-operation around the world.

New Year wishes

The first day week is always a good time to think about what you hope to see in the coming year. Here are four wishes for the coming weeks and months.


1. That more rural communities start to believe in what they can achieve together
Our biggest single barrier remains of communities not seeing that they can be the solution to the problems they face. Whether inspired by the Big Society vision or driven by the age of austerity, there are real opportunities for more communities to take control this year.


2. That more communities who have saved their village shop will now go further
A number of communities are now on to their second generation of their shop. Inspired by their own achievement, they are taking co-operation as stage further by tackling the other issues their communities face to create multi-purpose enterprises that go far beyond the original shop. Let's see more taking that next step.


3. That even more diverse forms of rural social enterprise will emerge
We've see the shop success spawn the co-operative use of pubs, churches and many other enterprises. Let's see the imagination run riot on solving issues not tackled before.


4. That the Coalition Government recognises that communities shouldn't have to reinvent wheels
The passion for encouraging frontline action is laudable, but those on the frontline want to devote their energy to their community, not in solving problems that others have solved before. Recognising the role of specialist intermediary bodies to spread knowledge is a vital part of helping of making the Big Society a reality on the frontline.

Localism & Mutualisation: time to learn from the 19th century

The Coalition Government has the opportunity to learn from a 19th century co-operative mistake or to limit the opportunity that its Big Society presents. At present we have a Government committed to the mutualisation of public service and localism bringing more community control, with the two being developed separately.

In the late 19th century, the rapidly expanding Co-operative Movement went to war with itself over the role of worker co-operation. One side wanted to see the new factories as worker owned, the other saw consumer co-operation as the only true way forward. Sadly, both lost out in the conflict, leaving a movement divided and less diverse than many of its international counterparts. It is only in recent years that serious attempts have been made to find common ground between the two camps.

What the Government needs to learn quickly is that these are not two separate initiatives, just as the very early co-ops drew no distinction. Mutualisation will only succeed if there is genuine engagement with local communities including them having ownership where relevant. Localism needs to include enterprise and worker co-operation has a vital role to play here. The Big Society needs to see this connection or pay the price that the Co-operative Movement has done for its 19th century error.

A mutual solution for the Post Office?

Fear of crime in rural areas is high, yet actual crime is lower than most urban areas. By the same token, fear of losing the local Post Office is high even though the network closure programme is long over and Post Office Ltd has been working hard to build a modern network that can meet rural needs. Even so, the fear remains.

The Government's announcement on the future of the Post Office last week will have triggered that fear again. Yet its plans offer a real opportunity for rural communities. It has stated that the Post Office will either remain under state control or become a mutual. Plunkett's position on mutualisation is to judge each by how genuinely mutual it will be and to challenge if it isn't. In the case of the Post Office, it looks good so far. We see clear criteria to ensure a balance of interests and a real opportunity for community-owned shops to have a voice at the highest level.

We'll be urging all communities that want to protect their postal services to engage in the consultation to ensure that the final outcome is as mutual as the draft bill intends. Genuine ownership of the postal services, so vital to village life, could turn that fear into pride.

An end to an irrational fear of irrationality?

It was great to spend time on Saturday evening with Tom Webb from the Masters of Co-operative Management at St Mary's University in Canada. Tom has been one of my great inspirations for over a decade now. His work on Marketing Our Co-operative Advantage (MOCA) led to the creation of much of the work at Oxford, Swindon & Gloucester Co-op. Tom went on to create the Masters programme at St Mary's and its sister programme the Center for Excellence in Accounting and Reporting for Co-operatives. In all this work, Tom has been relentless in asking the question "I know how this works in mainstream enterprises, but how does it work at a co-op?". He has applied this to every area, from marketing to accounting.

To me, our conversation had the feel of light at the end of the tunnel. We have both spent our lives trying to convince managers that acting as a co-operative is the only rational approach to running a co-operative. This is approach has often been dismissed by managers who sought to slavishly follow big business ethics. Our way was seen as somehow wooly and less rigourous. Tom saw the credibility of a co-operative approach as being vindicated with co-operative economics now being given three nobel prizes in recent years. I saw the supposed irrationality of our approach being vindicated through our rapidly growing understanding of behavioural economics, in which so many of the levers of change were strengthened through co-operative action.

So we spent a pleasant evening, together with the Program's Director, Larry Haiven, exploring the bridge that was being built between the two. Ten years on and still inspiring me.

Time to reflect

The distinct lack of posts from me over the last few months has been a reflection of the hectic life at Plunkett post-election. A few weeks back, I was given a chance to reflect on this at the excellent Futures North conference in Leeds. I explored what our experiences of engaging with the Coalition Government on the Big Society had been like so far.

It probably surprised a few that I had some positive things to say. In particular, I highlighted its willingness to address the barriers that stand in the way of communities developing co-operative enterprises. This barrier removal agenda was across Government and at all levels. It should be commended and supported.

But I also highlighted the current design fault in Big Society thinking, namely its inability to recognise that communities do not, and should not have to, reinvent wheels every time they want to solve a problem. This sharing of ideas and best practice has always been a vital part of community development, yet the Government was still struggling to appreciate the role that infrastructure organisations play in helping communities to solve problems faster and more effectively.

The Co-operative Movement has known this since its early days. I cited Mondragon, Quebec and Davis as examples of how that willingness to support had marked the upward surge of the Movement. But it also gave a challenge to co-operators, for it required us to act rather than waiting for others. The Co-operative Enterprise Hub is a great example of a co-operative doing just that. I also cited our own reaction to the Government's cancellation of the Community Pub Support Programme. Our approach had been to bring together other co-operators who would have supported the original scheme and to agree together that we would support every one of the 82 communities that the Government had turned its back on.

This co-operative approach to life would not only make the Big Society real, it might also help to build the Co-operative Movement we dreamt of.

Community retailing North and South of the border

It was a huge pleasure last week to go up to Scotland for the AGM of the Community Retailing Network. CRN has been doing great work in Scotland to support community-owned since 2004. We've been discussing some time about how CRN and Plunkett could work closer together and last week was an important step forward. I joined its board together with our trustee John Don and we hope that our members will put a CRN Board member onto the Plunkett Board at our AGM.

There is tremendous potential benefit for both countries. Although both have community-owned shops, they are two quite different traditions. Scottish shops tend to be larger and further away from the competition, with the logistics of this often solved by a close working relationship with the Co-operative Group. English stores are more numerous and will often face strong local competition. This has often resulted in some leading edge retailing and marketing to create a real co-operative difference.

Each can learn from the other and it is going to be fun having time to explore this together.

Up for the Climate Challenge

It was an exciting day last week when the Making Local Food Work conference in Manchester saw the launch of the new report "Local Food and Climate Change".

Everyone involved in local food has had to put up with years of being told that research showed that our contribution to tackling climate change wasn't all that it was cracked up to be. Some even claiming that multiple retailers were better placed.

The report throws down a challenge to the sector that we can make a huge difference, but only if we focus on what needs to be done.

But the challenge to policy formers is even greater. They need to recognise the community action is one of the building blocks for tackling climate change. They need to see that we are better placed to bring people together by changing their views one community at a time.

And, at long last, the local food movement can hold its head up high on what it can do through the amazing range of people, projects, enterprises and communities that are part of it.

Three tests for mutualisation

With all the main parties open to mutualising public services, one of the challenges in the near future could be to decide which services are best for mutualisation. From a Plunkett perspective, our experience suggests that there are three tests that should be applied to create a shortlist. These are:

1) Is there a clear problem to be solved by the mutual? The public and politicians like mutuals that solve problems. Village shops, pubs, football clubs etc have all shown that it is easy to grasp what the problem they are solving is.

2) Is there public support for solving this problem? The test is whether the area to be mutualised is something that the average person will see the logic and benefit of.

3) Is the model simple to understand? The solution needs to be one that it is clear to all how it will operate and why.

Once these three tests have created a shortlist, there are a whole range of other factors that will come into play to ensure that long term sustainable businesses are created. But any incoming Government would be wise to look at the big picture first.

One year on

It's been a while since I've celebrated a first birthday, especially when it is my own. But today marks one year as Plunkett's chief executive for me.

It has been an incredible first year, seeming both very long and flying by at the same time. It has also been quite an amazing year. We seen the community-ownership of village shops enter the mainstream with around 10% of closures being prevented. We've been given a credibility beyond logic by our appearance on The Archers, not to mention most national newspapers.

This way of solving problems has widened out with the new community-owned pubs and community transport with others in the pipeline. Our work with Community Food Enterprises is certainly one to watch.

It has also been a year of re-establishing old friendships and making some new ones with other organisations. I can't name you all, but I'm grateful to each and every one of you.

If there is one part of the work that has shaped the last year, it has been the humbling experience of visiting the actual enterprises that we support. Seeing what they have achieved and realising how much more could be achieved has not only made this year such a pleasure, it is also what will drive me on in the coming year.

Time to celebrate

The Plunkett Foundation will be putting all its enthusiasm (and that's a lot) into Britain's first Co-operatives Fortnight in June. There are several reasons for this.

Firstly, it is long overdue. America has a great month long celebration and Canada has as Co-op Week. But Britain has done little to celebrate the impact of co-operation apart from a few International Co-operative Day celebrations (including some fetes, galas and bunfights which showed very little that was international and even less that was co-operative).

Secondly, there couldn't be a better time to go on the front foot to show that there is an alternative. We, along with many other co-operative organisations, are seeing a surge of interest in co-operative solutions.

Finally, Plunkett is keen to participate to make the point that some of the most dynamic new co-operatives are coming from rural communities and it is time that the Co-operative Movement recognised them.

Many years ago, I remember a worldly wise co-operative manager lamenting that the problem that co-operatives had was that they were always one step away from being fashionable. In June this year, we'll be helping to tale that step.

A new co-operative value?

It was a great pleasure to welcome Iain Macdonald, Director-General of the International Co-operative Alliance to Oxfordshire last week. Iain's co-operative path has been criss-crossing with mine for more decades than we both care to remember.

One of the passions we share is the frustration that so many of our British colleagues seem to believe that the founding of the Rochdale Pioneers in 1844 in Britain means that the British have no need to learn co-operation from other countries. Nothing could be further from the truth and Plunkett has been making that point for 91 years. The reality is that no one country has got it right. We can all learn from each other. In my recent talk in Sheffield I cited Quebec, California, Spain and Jamaica as four places that Sheffield could learn from (I also think that many places could learn from Sheffield).

Perhaps we should start a campaign to introduce a new co-operative value, humility, so that this movement, so rich in ideas around the world, can learn at long last to learn from each other.

Hurry please it's time (for co-operative pubs)

One of my excuses as to why blog posts have been thin on the ground lately became visible last week when Pubs Minister John Healey announced that he was asked the Plunkett Foundation to lead a £3.3m programme to create 50 new community-owned pubs.

This is great news for community-ownership and for communities faced with pub closure. We seen how community-ownership of village shops has gone from strange idea to the way rural communities choose to tackle shop closure. About 10% of village shops that would have closed now end up being run by their community as viable businesses. We hope to create a similar movement for pubs.

What we also love about the programme is that it was only made possible by linking together a range of co-operative organisations, such as Co-operatives UK, Co-operative & Community Finance and the co-operative development bodies.

CAMRA, the campaign for real ale, has been quick to recognise what a tremendous opportunity this is for its members and its CEO Mike Brenner has said "we are delighted to be involved in this support programme to make community ownership of these essential local services a reality for many." The support that we've had from the Office of the Third Sector in the Cabinet Office has been superb and it has said that the programme "will act as inspiration to a range of communities, and increase awareness of social enterprise, and mutual approaches to self help within communities."

We are also looking forward to working alongside the other two strands supported by John Healey, business advice to publicans by Businesslink and support for pub diversification by Pub is the Hub.

These are exciting times. Details of the scheme are still being finalised, but you can get all the latest information and find out how register if you have a potential pub here. Who knows, very soon your local could be under new ownership - yours.

Ahead of their time

I had the great pleasure of visiting Berrynarbor Community Shop in Devon recently. What struck me was how forward thinking they had been when they were formed in 2004. Three aspects stood out for me.

Firstly, their use of community shares as a major funding source was several years ahead of its time.

Secondly, the deal they struck between the owner of the old shop owner and the council is still ahead of its time. This gave them four years to show that a community shop works and plan a larger store or to have proved that the idea didn't work, then either way to vacate the shop which was then allowed to be converted to housing. Right to Try at its best.

Thirdly, they were great community marketers. Whenever someone moves into the village, they receive a welcome pack, urging them to invest and volunteer in the shop. This has meant that the level of investment has continued to rise.

Berrynarbor is certainly one to watch.