SIX and the Young Foundation were commissioned by the Bureau of European Policy Advisors at the European Commission to a study of social innovation in Europe, and to suggest some priorities for action. The paper sets out the current position, policies, programmes and future options for promoting social innovation in Europe. Its primary focus is on innovations in services rather than products or technologies. It looks at innovations in all sectors that are achieving high impact and productivity, particularly in relation to goals of better health, education, employment or the environment, rather than focusing exclusively on the public, private or non-profit sectors.