The promise and performance of social impact bonds

This article examines social impact bonds (SIBs), first scrutinizing early discourse on their promises—increased accountability through competitive public-private partnerships, outcomes measurement, and a learning approach to performance management—drawing on theories of New Public Management and New Public Governance. Then, a structured review of empirical research is used to evaluate SIB performance against their public management reform promises. Findings show that while SIBs sometimes foster intersectoral collaboration, they can also surface power imbalances, institutionalize gaming, and inadvertently reduce public accountability. A faltering commitment to robust outcomes measurement is also demonstrated, with negative implications for effective governance and public value.

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Publication Details

Journal
Public Management Review
Published
2026-07-02
DOI
https://doi.org/10.1080/14719037.2026.2693782
Primary Topic
Community Development and Social Impact
Type
article
Field-Weighted Citation Impact
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article

The promise and performance of social impact bonds

Clare FitzGerald, Alec Fraser, Carolyn J. Heinrich, Mikkel Munksgaard Andersen
Public Management Review
Community Development and Social Impact
article

The promise and performance of social impact bonds

Clare FitzGerald, Alec Fraser, Carolyn J. Heinrich, Mikkel Munksgaard Andersen
article en

Abstract

This article examines social impact bonds (SIBs), first scrutinizing early discourse on their promises—increased accountability through competitive public-private partnerships, outcomes measurement, and a learning approach to performance management—drawing on theories of New Public Management and New Public Governance. Then, a structured review of empirical research is used to evaluate SIB performance against their public management reform promises. Findings show that while SIBs sometimes foster intersectoral collaboration, they can also surface power imbalances, institutionalize gaming, and inadvertently reduce public accountability. A faltering commitment to robust outcomes measurement is also demonstrated, with negative implications for effective governance and public value.

Public Management Review
King's College London (GB), Vanderbilt University (US), National Research Centre for the Working Environment (DK)
Reduced inequalities
Openalex Percentile: Top 5%
Community Development and Social Impact
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