Crowdfunding: The future of local council investment?
London MEP and London Assembly Member want to see wider use of funding model
An MEP for London and a London Assembly Member are calling for a greater use of crowdfunding by councils to help pay for local projects.
Syed Kamall MEP for London and Conservative AM Keith Prince say local authorities should be using an online platform to raise millions of pounds to invest in everything from transport infrastructure, to arts facilities, to local playgrounds.
Two projects in Croydon – the Purley Youth Project and Friends of Grange Park – have already shown what is possible when crowdfunding is used to source investment.
Now, Syed Kamall and Keith Prince want London boroughs to follow similar models to boost investment in much-needed local facilities.
The pair are this Friday hosting an event at City Hall which they hope will be the springboard for London councils to embrace this fundraising approach.
Keynote speaker at the event, Syed Kamall, MEP for London, said: “We have to accept that councils and governments are having to make much tougher decisions these days about where money is spent. Crowdfunding is a new and exciting way to ensure that people can still see the projects they want to see in their community being developed.
“There is so much potential with this model”, says Dr Kamall, who is helping one of the case studies in Croydon himself. “Councils could match fund local campaigns or even just provide valuable logistical and official help to projects which they would otherwise have to turn down.”
Keith Prince, London Assembly Member for Havering & Redbridge and organiser of the event, released a report earlier this year showing how organisations like Transport for London could use crowdfunding.
He suggested local businesses and campaign groups who would benefit from improved transport links could be encouraged to contribute cash in return for discounted travel or even advertising space.
London Assembly Member Keith Prince said: “Crowdfunding is potentially an untapped goldmine for local councils looking for investment in local facilities.
“The benefits are potentially huge and the set-up costs are minimal. I hope we can start the ball rolling on this and kick-start local projects all over London and the UK.”
Representatives of both the Purley Youth Project and Friends of Grange Park will be attending Friday’s event, along with a number of other crowdfunding experts, to explain what made their projects a success.
The event will be chaired by Mark Littlewood the Director General of the Institute of Economic Affairs, with speakers including (in alphabetical order), Bruce Davies from Abundance Generation & UK Crowdfunding Association, Simon Krystman from Crowdpatch, Paul Masey from Crowdcube & UK Crowdfunding Association and Councillor Chris Wright from Croydon Council.
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