UK - Moulton sets standard for charitable giving

Jon Moulton of Alchemy Partners has made a private investment of £12m in Winthrop Hall, a new centre for treatment and research into drug and alcohol addiction which is scheduled to open on 8th October. Winthrop will offer clients an initial six-week, sixty hours a week, tailored programme. Publicising the philanthropic spirit of private equity can be a dangerous game, as was evidenced earlier this year following the launch of the Private Equity Foundation (PEF), which raised an initial £5m for charitable causes. Reaction ranged from the muted to the cynical, with many commentators critical of the relatively small amount of cash raised. Given its size, Moulton's investment will not fall foul of the same reactions. Many private equity professionals commit significant amounts of their personal wealth to charity, and a number of firms have pools of cash dedicated to charitable giving. A more sustained and creative PR offensive on this front would be beneficial to the image of the industry, as Moulton seems to have grasped. Although the PEF is an honest attempt to do some good and £5m (so far) is not to be sniffed at, it was badly timed and keeping the plans under wraps in the months leading to the launch enabled it to be hijacked by the unions. Industry sources say that a fresh wave of fundraising for the PEF is imminent. This time, they should be bolder about their efforts and come out fighting. By Nathan Williams