1. Use your power as a consumer
You can participate in a movement which uses consumer power to change society, by favouring employee owned firms and producer and consumer co-operatives with your custom.
For example, you could switch to the Phone Co-op (and support The Equality Trust at the same time) bank with the Co-operative Bank get your mortgage from a building society controlled by its members, buy from your local food co-op and encourage your friends and family to do the same. You can find a list of those employee owned business that are members of the Employee Ownership Association on their website and there is a comprehensive searchable database of co-operatives and mutual enterprises at Co-operatives UK.
If you know of a company that is not included in either list but which is run according to these principles, please let us know and we will begin our own list of additional recommendations.
2. Consider community ownership / setting up a co-operative
As well as companies being owned by their employees, it is possible for
other organisations that deliver goods and services to be owned and
controlled on a community basis, usually defined by geographical
area and/or a shared interest. Local services such as post offices, shops and pubs
can be taken over by the people that most commonly use their services.
Another significant growth area in community ownership is the number of
football and other sporting clubs
that have been taken over by their supporters, usually after the
previous traditional hierarchical management structure has left the
club in financial trouble.
The most common way to achieve community ownership which legally
protects the assets and the interests of the community is to set up a
formal, democratic, member-controlled co-operative. To set up a
co-operative in the UK, you must register an Industrial & Provident Society (IPS) with the Financial Services Authority.
It is worth noting that there are two types of IPS: (1) a bona fide
co-operative society which is essentially an employees or workers’
co-operative designed to carry out a trade or service; and (2) a
community benefit co-operative which, as the name suggests, is for the
benefit of a defined community area. All the examples cited above in
this section would be a type (2) co-operative. The registration form is
the same for both types, you just have to tick the relevant box and
make sure your constitution accurately reflects your stated aims.
The advantages of community ownership are that it protects and nurtures vital assets for the long term benefit of the whole community but also builds trust through community participation and, generally, fosters a more egalitarian and collective approach to the conduct of economic and social life.
If you are considering setting up your own co-op, visit Cooperatives UK for advice and information.
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