Genesis Youth Trust social bond

The problem

The Government’s social bond prototype used a competitive process to identify the best mix of providers and intermediaries (support organisations) to deliver a pilot of the new social investment approach. A social bond approach to social investment had not been tried before in New Zealand. Synergia worked with the Genesis Youth Trust and the ANZ bank to put forward an investment proposal to reduce youth reoffending in South Auckland. As the preferred providers, the organisations then had to develop solutions to service design, investment, performance and value measurement that would function in a payment-for-results environment.

Our approach

Synergia worked closely with Genesis Youth Trust over several years, to help establish the service design and social bond approach, and then develop the data analytics framework to provide feedback on performance and trigger investor payments. Synergia also provided support on organisational performance and identified ways to improve performance. There were many technical challenges to provide comprehensive, wrap-around services to at-risk youth.

Our approach involved:

Using data to understand the group needing support and identify a matched counterfactual, and developing linked data across sectors to show the impact of the intervention.
Developed data infrastructure that provided oversight of the prototype, with performance dashboards and KPIs for service delivery and for investors.

Synergia undertook rapid reviews, followed by deep dives into parts of the Genesis operating system and service design to understand the barriers and enablers of performance and then providing advice for change processes to lift performance.

Following the prototype completion, we accessed the IDI to develop a detailed understanding of impact. We focused on key indicators including justice (offences and criminal charges), education (enrolment and completion), employment (income and job attainment), driver’s licensing, benefits consumption, and healthcare service usage.

Impacts

Reduced reoffending: Participants in the Social Bond Programme had significantly fewer police offences and criminal charges compared to the matched cohort, highlighting the programme’s effectiveness in breaking the cycle of reoffending.

Improved education and employment outcomes: More participants enrolled in tertiary education and were more likely to have higher overall income and wages, indicating better long-term prospects in education and employment.

Health benefits: Participants also showed significantly fewer hospital events and lower use of mental health services, reflecting improved overall well-being and reduced reliance on healthcare services.

Positive community impact: The programme not only provided immediate benefits for participants but also contributed to broader social outcomes, supporting community safety and the well-being of vulnerable youth.

This case study demonstrates how the Genesis Social Bond Programme, supported by Synergia, effectively transformed the lives of at-risk rangatahi, offering a model for future interventions aimed at reducing youth offending and improving life outcomes.