New development: Private finance over public good? Questioning the value of impact bonds

Abstract

This article contrasts the proposed benefits of social impact bonds (SIBs) with the more mixed performance of initial projects, and reviews the early literature, revealing a similar divide between initial optimism and subsequent critique. Despite this, SIBs continue to receive high-level support, while expanding their reach through controversial new ‘development’ and ‘environmental’ impact bonds. This situation deserves more scrutiny in the accounting literature.

Keywords:

• Accountability
• impact bonds
• outcomes-based performance
• third sector

Additional information

Notes on contributors

Colin Dey

Colin Dey is Senior Lecturer in Accounting at Stirling Management School, University of Stirling, UK.

Jane Gibbon

Jane Gibbon is Senior Lecturer in Accounting at Newcastle University Business School, UK.