On December 5, 2025, OECD published the Social Economy in Europe report. It is one of the most comprehensive European documents on the social economy published in recent years.

The document provides an overview of the current state of play in Europe +

• Demonstrates how  care and housing actors provide inclusive services that meet community needs while creating quality employment
• Analyses the framework conditions that facilitate social economy development, including institutional arrangements, business support schemes and taxation policies across EU Member States.
• Features country specific information for all EU Member States, offering insights into national policies to support policymakers in strengthening social economy ecosystems as key building blocks for prosperous and inclusive societies.

Social Economy in Europe: Contributing to Competitiveness and Prosperity (OECD & European Commission, 2025)

A major joint OECD–European Commission report that synthesises the current state of the social economy in Europe, its economic weight, the sectors where it contributes the most, and the policy frameworks needed to support it. It is essentially a high-level strategic reference document designed both for policymakers and ecosystem builders.

Key Insights from the Social Economy Report

The social economy is a major economic actor:

• EUR 912 billion turnover
• 4.3 million entities in the EU
• 11.5 million employees
• 6.3% of the EU workforce

Across all EU Member States, the report identifies a repeated pattern: the social economy can deliver high-impact solutions, but existing legal, fiscal and institutional frameworks are not designed to help it scale.

The report highlights how social economy forms such as limited-profit housing associations, co-operatives and community land trusts deliver not only affordability, but long-term stability and community participation. In countries like Austria, the Netherlands, Sweden and Denmark, these organisations represent a significant share of national housing stock and are essential partners in maintaining mixed, socially cohesive neighbourhoods.

The report shows how the social economy already plays a central role in care provision across Europe. In many countries, especially Italy, Spain and France, co-operatives, associations and foundations deliver significant shares of home-based and community-based care. These models offer a compelling alternative to the over-reliance on institutional care, enabling autonomy, dignity and personalised support.

A decisive moment for policymakers, communities and practitioners

The report concludes with a clear message: Europe already has extraordinary social economy capabilities, but unlocking their full potential requires consistent frameworks, long-term funding instruments, specialised support structures and coherent policies across ministries and levels of government.

For governments, this means treating the social economy as a strategic partner.
For social enterprises, it means building capacity, demonstrating impact and participating in governance.
For communities, it means recognising that resilience and prosperity grow strongest when citizens are not passive beneficiaries but active co-creators.

The social economy is not simply an alternative model. It is one of Europe’s most powerful engines for sustainable, inclusive and future-ready development.

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Source: OECD/European Union (2025), Social Economy in Europe: Contributing to Competitiveness and Prosperity, Local Economic and Employment Development (LEED), OECD Publishing, Paris, https://doi.org/10.1787/3432de93-en.