A new report by the Organisation for Economic Co-operation and Development (OECD) highlights how the European Social Fund (ESF) has supported the growth of social innovation across Europe. Drawing on the experience of 96 projects funded by the ESF during the 2014–2020 programming period, the report provides practical guidance for Member States and regions aiming to strengthen social innovation through future ESF+ investments.

The ESF’s role in social innovation

The report shows that, even before social innovation became a formal priority, ESF-funded projects often applied socially innovative methods. Examples include integration services for migrants, small-scale childcare initiatives led by municipalities, and collaborative networks tackling skills gaps or long-term care in rural areas.

Since 2021, the ESF+ has significantly stepped up its focus on social innovation. Under the current regulation, each Member State must dedicate at least one programme priority to this area. Projects also benefit from up to 95% co-financing under Article 14(4), offering additional incentives to invest in new solutions. 

Additionally, the ESF+ Social Innovation+ initiative helps transfer and upscale innovative solutions to societal challenges, mainly in employment, education, skills, and social inclusion. With a budget of €197 million for 2021–2027, it is managed by the European Competence Centre for Social Innovation. The initiative focuses on two main areas: 

• Social Innovation Grants through EU-level calls for proposals for transnational projects promoting social innovation.
• Knowledge Sharing through five Communities of Practice, two Networks and the Social Innovation Match database.

A framework to guide action: Start, Scale, Sustain

To help structure this work, the OECD introduces a “3S Framework” for developing and supporting social innovation through policy:

• Start: Promote experimentation and early-stage development, for instance through innovation labs, seed funding or links with academia.
• Scale: Expand successful initiatives to new regions or sectors, supported by capacity building, growth finance, or transnational cooperation.
• Sustain: Embed innovation into governance and public service delivery through legal frameworks, institutional support and long-term financing.

Each phase is illustrated with concrete examples and policy recommendations. The report includes 12 case studies featuring ESF-funded social innovation projects. These insights are intended to guide ESF+ implementation and help shape preparations for the post-2027 programming period.

Looking ahead

As Member States continue to implement ESF+ programmes and prepare for the next funding period, the findings from this report offer a practical roadmap for making social innovation a lasting part of EU cohesion policy. Policymakers and managing authorities are encouraged to explore the report and consider how its insights can shape future priorities, partnerships and funding strategies.