Question: Corporate Social Responsibility is one of those buzz phrases that are bandied around from time to time - what exactly does it mean?

Douglas Alexander: I think corporate social responsibility is a developing term. It reflects a growing awareness both within the business community and more generally, that companies and organisations can make a contribution to the public good, broadly companies that exhibit corporate social responsibility probably do three main activities. Firstly, it recognises that its activities have a wider impact on the society in which it operates. Secondly, in response, it takes account of the economic, social, environmental and human rights impact of its activities across the world. And thirdly, it seeks to achieve benefits by working in partnership with other groups and organisations.

Question: So what is the Government's interest in CSR?

Douglas Alexander: Probably the single biggest challenge facing Government on the domestic front is trying to achieve not just the dynamic economy, but also a fair society. We do believe that the work of individual companies can make a significant contribution to both of those objectives. So we are very confident that corporate social responsibility can play a key role in advancing our vision of both a dynamic economy and a fair society.

Question: So what exactly have you done and what more do you plan to do to promote greater CSR?

Douglas Alexander: Originally this Government was the first Government literally anywhere in the world to appoint a minister with specific responsibility for corporate social responsibility and what we will be publishing today is our second annual report on CSR. We will be highlighting some of the activities that have been taken forward by Government to date. Also on a domestic level, this year we have been contributing to the Europe green paper on CSR, we have also been making sure that there is a higher profile for the work of corporate social responsibility across Whitehall and we have also been advancing work on the international stage with a range of Government departments.

What we will be setting out in the second annual report will be our strategy for moving forward our vision of corporate social responsibility. Firstly promoting activities that bring economic social and environmental benefits. Secondly, working in partnership with the private sector, and community bodies, unions, consumers and other stakeholders. Thirdly, encouraging innovative approaches and good practice and also fourthly, encouraging awareness trust and a healthy public dialogue around these issues. In terms of what will be some of the key priorities that we will set for Government, we will be looking to raise the profile and highlight the importance of this area of our work, and to take full account of opportunities to increase the adoption and reporting of CSR as part of the continuing review of companies work. We are also wanting to place a strong focus on the involvement of small, medium size enterprises. Too often in the past, CSR has been seen as the domain of larger companies and we would like to see a step change in the consistency and quality of CSR guidance provided to small and medium sized enterprises through a range of advisory organisations.

Question: You talked about best practice there, will you be looking to set any minimum standards for CSR?

Douglas Alexander: One of the interesting features of CSR in the United Kingdom is that it has followed a broadly voluntarist path and the result of that is we have seen some of the best innovation literally anywhere in the world. Given that the definition of CSR is evolving and indeed has changed over recent years I am not convinced that now is the time to legislate, in fact we want to try and stimulate further innovation and see how there can be further development for some of the voluntary codes that have been put in place. If you look for example at the FTSE 4GOOD which was launched last year, an entirely voluntary measure - it actually had a significant effect on many companies behaviour, either when they found themselves on the list or indeed when they found themselves off the list.

Question: The Government can call on companies to get involved in this - but how efficient have public sector bodies been in promoting CSR in their local environments?

Douglas Alexander: That is one of the challenges that the public sector faces and one of the areas that we have been highlighting in this year's report. There has been a range of different work taken forward. For example, in terms of sustainable development, real work is being undertaken to get the Government to be more friendly towards the environment. Over recent years for example on average we have seen 17 per cent less energy being used on the Government estate than only a decade ago. And actually in terms of waste and recycling, seven major government departments are now meeting the targets to recycle 40 per cent of their office waste. So of course there is more work that can be done but we are determined in each department of government that agendas are taken forward for a more sustainable environment. And we have actually seen government departments establish "Green Ministers" to help champion sustainable development over recent years.

Question: So that is one the environment side, what other targets will you be setting for the government departments?

Douglas Alexander: One of the areas that I am keen to see the greatest amount undertaken is actually liaising with other departments in terms of the work on basic skills, where we are clear that there are challenges, not just for the private sector, but for the public sector. So we will be looking at how we can work across Whitehall to push forward an agenda not just on environmental matters but also on other core areas of work, such as basic skills.

Question: Some people argue that CSR could be used cynically by companies as a smokescreen - a clever form of PR - how do you respond to that?

Douglas Alexander: It is a live argument, and there are some people who suggest that CSR is little more that green washing or an attempt at PR. I think that actually you need to find a middle way between the evangelical optimists who believe that CSR is the answer for every problem we face as an economy and society, or the pessimistic cynics who argue that just because it involves the work of private sector organisations it is somehow inherently incapable of contributing to the public good. I actually think there is a far richer and stronger dialogue that can take place between the public and private sectors about how to advance this agenda.

Question: Other people argue that when people talk about reviving deprived neighbourhoods - sure they'll play their part but really the government should be taking the lead in this?

Douglas Alexander: I am proud to be a member of a government which has taken very significant steps in advancing an anti-poverty strategy. We've set for ourselves ambitious goals, we have seen a million more people back in work since 1997. In my own constituency the establishment of the national minimum wage has meant a significant pay rise for many of the poorest paid workers, but at the same time we are taking forward other steps that are necessary to renew the communities. We are seeing massive investment in our health and education services, we are seeing the establishment for the first time of a national childcare strategy to give people realistic choices about whether to stay at home or whether to go out to work. And actually across a range of areas I think it is fair to say the government is accepting and honouring that responsibility, but is not blind to the fact that other organisations and companies indeed can make a contribution to that regenerative work.

Question: Would you consider any financial or tax incentive for smaller or medium sized companies to get involved?

Douglas Alexander: I think one of the ironies of the debate around CSR is that many small and medium sized enterprises are presently undertaking a huge amount of work which although they might not describe it corporate social responsibility, could actually best be understood as part of that agenda. One of the discoveries that we have made over recent months is the degree to which small and medium sized companies actually want better information available to them so that, if they do want to embark on the journey that is corporate social responsibility, they are able to get appropriate advice at each stage. And I think in the first instance, where we should be looking is what support and advice can be offered to small and medium sized enterprises who decide that CSR is something they should get involved in.

Question: Would this be a Government centre that would offer this kind of advice?

Douglas Alexander: This is the kind of area we will be looking at over the coming twelve months but I certainly think there could be scope for business links or a specific service that works directly with many small and medium sized enterprises across the country, to play a significant role in taking forward the CSR agenda with that particular community.

Question: A number of companies say that they are happy to get involved in CSR but there are a multitude of organisatons that approach them with various different demands - it would be better to have one point of contact - what do you think about that?

Douglas Alexander: I think we should celebrate the innovation we've seen in this sector in recent years. I do think over the years to come it would be a worthwhile development to try and clarify the minds of a range of different sized organisations as to what are the most appropriate steps to take on that journey. That is particularly why I'm keen to focus on the report today on small and medium sized enterprises so they don't find themselves being judged or intimidated by codes of practices which are perhaps more appropriate to larger sized organisations.