A Turning Point for Europe’s Social Economy
The adoption of the European Social Economy Action Plan (SEAP) in 2021 marked a landmark moment for the development of Europe’s social economy. Built on extensive stakeholder consultation, the SEAP was endorsed by the European Commission and launched under the joint leadership of DG EMPL and DG GROW. Its goal: to strengthen, develop and mainstream the social economy by 2030.
Yet, just a few years into implementation, Europe’s social and political landscape has changed dramatically. Technological disruption, shifting funding priorities, and evolving political discourses all call for a renewed ambition for the social economy as we move towards 2030 and beyond.
To support this renewal, Euclid Network is publishing a series of reflection papers examining SEAP’s progress to date and offering targeted recommendations for its evolution. This post highlights key insights from the mid-term review, focusing on four key areas:
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Support to European-level networks
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The Social Innovation+ initiative
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InvestEU
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The external dimension of SEAP in the Western Balkans
Supporting European-Level Networks
EU support for European-level networks in the social economy remains vital. These networks ensure that national intermediaries and individual social enterprises have a voice in shaping EU policy and funding. They also help build the capacity of national support organisations through improved access to EU funds.
This support should not only continue throughout SEAP’s implementation and beyond the current Multiannual Financial Framework (MFF) — it should expand. Greater investment should be made in national intermediary organisations, such as SE networks, leveraging EU funds under shared management to deepen impact at the grassroots level.
Advancing the Social Innovation+ Initiative
The Social Innovation+ (SI+) initiative and its National Competence Centres for Social Innovation have proven highly effective in engaging national support organisations in co-developing programmes, research, and funding opportunities. This inclusive model has made support more relevant and responsive to ecosystem needs — and should be recognised as best practice.
Looking ahead, SI+ should continue with stronger synergies between the social economy and social innovation ecosystems. Many actors are active across both fields, and deeper collaboration could amplify shared initiatives.
The model tested under SI+ could also be replicated — for example, through the creation of national competence centres for social entrepreneurship or social economy. These could play key roles in delivering EU policy priorities, co-designing funding programmes, and fostering cross-border partnerships among Member States.
The Role of InvestEU
InvestEU has been a key vehicle for SEAP implementation, providing financing that helps social enterprises scale and innovate. However, clarity is needed on InvestEU’s future — particularly regarding its continued capacity to support SEAP’s objectives.
Social economy intermediaries would benefit from greater transparency about how they can engage with InvestEU, both to raise awareness of opportunities and to guide potential beneficiaries through the funding process.
Furthermore, as InvestEU increasingly supports social housing initiatives, it’s crucial to ensure that dedicated funding remains available for microfinance providers and social entrepreneurs. Balancing these priorities will be essential to maintain the diversity and resilience of the social economy.
Extending SEAP’s Reach: The Western Balkans and Beyond
One of SEAP’s most promising dimensions has been its external focus — extending support for the social economy to the EU’s neighbourhood, including the Western Balkans and Türkiye. These regions host vibrant and interconnected social economy ecosystems, but so far, SEAP actions have been only partially integrated into the EU’s pre-accession and external funding instruments.
As we approach 2030, it’s vital that the EU mirrors its internal funding priorities for social economy development within its external instruments. Doing so would reinforce cooperation between Member States and their neighbours and build stronger, more resilient regional ecosystems.
Key Recommendations
Support to European-Level Networks
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Continue and expand EU support for European-level networks beyond the current MFF.
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Strengthen national intermediary organisations through increased access to EU funds under shared management.
Social Innovation+
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Institutionalise stakeholder engagement as a best practice in Competence Centre development.
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Strengthen connections between social innovation and social economy ecosystems.
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Replicate the SI+ model to create national competence centres for social entrepreneurship.
InvestEU
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Clarify InvestEU’s future role in supporting SEAP implementation.
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Improve information and guidance for intermediaries and applicants.
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Protect funding streams for microfinance and social entrepreneurship alongside social housing.
External Dimension (Western Balkans and Neighbourhood)
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Align EU external funding instruments with SEAP’s priorities.
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Support the growth of social economy ecosystems in pre-accession and partnership countries.
Looking Ahead
The SEAP’s mid-term review offers a crucial opportunity to take stock — not just of progress made, but of how the social economy can evolve to meet new realities. Through continued collaboration, innovation, and investment, the European social economy can remain a powerful driver of inclusive and sustainable growth across the continent and beyond.
