Steer markets toward public purpose
Reflection matters because our assumptions about markets shape how we interpret their functions and how boldly we imagine intervening in them. If we see markets as neutral, self-correcting systems, we may default to minor adjustments. If we recognize that markets embed values, power, and priorities, we understand they can be steered toward different futures. Pausing to reflect helps reveal these underlying beliefs and opens space for designing policies that intentionally align market dynamics with socio-ecological goals instead of pursuing abstract economic optimality.
What you will achieve with this tool?
Design policy approaches that steer markets toward achieving clearly defined socio-ecological goals.
Get inspired by: Candem Council and the Community Wealth Fund
Camden Council is a London local authority, partnering with the UCL Institute for Innovation and Public Purpose (IIPP), a research institute focused on mission-oriented and market-shaping approaches. Together, they developed a mission-oriented Community Wealth Fund to direct public and blended finance toward locally defined socio-ecological priorities. The initiative targeted issues such as improving access to healthy and affordable food, reducing carbon emissions from housing, expanding opportunities for good local jobs, and strengthening community well-being. By investment criteria, among others, the initiative shows how public institutions can intentionally shape market dynamics rather than merely respond to them.
Source: https://www.ucl.ac.uk/bartlett/sites/bartlett/files/2024.10.04_iipp_camdenreport_pr_2024.06.pdf
Explore how to take action
Remember, this is an inspiration guide (not a recipe) to help you decide what will be most transformative for your context. Every context is unique!
With whom and for whom are you transforming?
Where do you see the limits of markets, even well-shaped ones, and how might combining this tool with other levers of change (public services, community action, regulation, collective ownership) strengthen your contribution to socio-ecological transformation?
Shaping markets toward public purpose can unlock new pathways for socio-ecological transformation, but markets alone cannot deliver the full depth of change we need. Use this tool to steer financial dynamics in the right direction, while remaining attentive to power imbalances, unintended effects, and the complementary role of public services, community action, and democratic governance
References
UCL Institute for Innovation and Public Purpose (2024). Mission-led procurement and market-shaping: Lessons from Camden Council. IIPP Policy Report. https://www.ucl.ac.uk/bartlett/sites/bartlett/files/2024.10.04_iipp_camdenreport_pr_2024.06.pdf. Dingkuhn, P. Nel, J. Schoenmaker, D & Alpizar, F. (2025). A Transformative Approach to Sustainable Finance: Systems Thinking and Paradigm Shift. (Under review)