New rules are being announced to stop profiteering in children’s social care as part of reforms aimed at ending years of what the Government described as neglect of the system. The watchdog Ofsted is to be empowered to crack down on exploitative providers, and companies will be mandated to set out their finances to increase transparency across the sector in England.
According to the Department for Education, spending by local authorities on looked-after children has soared, more than doubling from £3.1 billion in 2009/10 to £7 billion by the 2022/23 fiscal year. The Local Government Association highlighted troubling statistics indicating the 15 largest private providers made average profits of 23%, with over 1,500 children placed at costs nearing half a million pounds each annually.
The new measures, poised to be unveiled in Parliament, aim to empower social workers and others who work with children to confront providers delivering inadequate care at exorbitant costs to councils. A long-standing challenge has been the tendency of certain private providers to siphon funds meant for the welfare of vulnerable children, prioritizing profits or operating unregistered facilities neglecting adequate standards of care.
The Government also committed to introducing backstop legislation to restrain profit margins for providers, which is expected to be enacted if there isn't voluntary compliance from the industry. Ofsted will gain authority to investigate operators overseeing multiple homes, responding to recommendations following abuse discovered at Hesley Group’s children’s facilities.
Last year, the Child Safeguarding Practice Review Panel urged for integrated care strategies for disabled children within residential settings after reviewing the distressing situations faced by 108 children placed within the Hesley Group from January 2018 to March 2021. These findings unveiled systematic neglect and abuse, showcasing the breakdown of the support system meant to protect these vulnerable individuals.
The Government aims to reform this system by shifting the focus toward early intervention and enabling social workers to retain families whenever feasible. New duties may require parents to seek local authority permission for homeschooling their child if there’s any child protection inquiry or plan underway.
Plans are set forth for broader initiatives aimed at preemptively aiding families, thereby decreasing the influx of children necessitating care. Dame Rachel de Souza, Children’s Commissioner, stated, "Children are paying the price of a broken social care system, enduring things no child should ever have to." She emphasized the necessity for immediate actions rather than mere discussions or frameworks, expressing her hope for substantive changes to how children’s needs are addressed.
"Every child deserves to grow up safe, happy, healthy, and engaged with their communities and education. With this Bill, we have the chance to rectify how we treat childhood in this country," Dame Rachel added.
Education Secretary Bridget Phillipson echoed these sentiments, stating, "Our care system has suffered from years of drift and neglect. It’s bankrupting councils, letting families down, and leaving numerous children feeling forgotten and powerless." She noted the need for ambitious reforms to create opportunities for vulnerable children, stressing the collective responsibility of society to support all youth.
The commitment to revamp and recalibrate children’s social care toward more preventive measures and family support services has been applauded by the Children’s Charities Coalition, which includes organizations like Action for Children, Barnardo’s, and NSPCC. They view the Government’s intentions as significant strides toward mending the beleaguered system.
On another front, the Minns Labor Government has recently inaugurated the first of five care properties intended to provide stable homes for vulnerable children, removing them from unsuitable emergency accommodations. Known as the Waratah Care Cottages and located in Western Sydney, these centers aim to create secure environments supervised by skilled staff, with specific expertise related to child welfare.
These cottages are set to accommodate children presently residing in high-cost emergency arrangements (HCEAS) who can't be immediately placed with relatives or other carers. The initiative is part of the Minns Government's broader commitment to diminish the reliance on inappropriate emergency settings and eliminate alternative care arrangements (ACAS) entirely.
A report released by the Advocate for Children and Young People (ACYP) highlighted the tragic realities faced by youths living in HCEAS, accurately detailing numerous accounts of being left alone in unsafe situations. One child likened their experiences to being treated as "a dog being moved from cage to cage." Unfortunately, HCEAS, initially intended for brief emergency use, became over-reliant solutions due to the lack of available and willing permanent placements.
Under the ex-government's tenure, recruitment efforts for new caregivers stagnated and were outsourced to non-profit organizations. Since then, thousands of children ended up in HCEAS, including motels and other temporary accommodations. To address this, since November, the Minister for Families and Communities, Kate Washington, has initiated specialized actions within the Department of Communities and Justice (DCJ) targeting the excessive use of these facilities.
Recent achievements include cutting down the number of children placed under ACAS from 139 down to just 27, marking an 81% reduction. The overall count of children contained within HCEAS has also diminished, from 506 to 339. The Government has also pledged to eradicate ACA placements by March 2025. Meanwhile, 207 emergency carers have been recruited, successfully providing homes for 849 children who need safeguarding.
Among the first to be relocated to the Waratah cottages will be sibling groups who have experienced severe disruptions, emphasizing the goal of keeping families together during these transitions, under the watch of dedicated DCJ caseworkers.
Kate Washington remarked, "Every step we take away from unsuitable emergency accommodation draws us nearer to improved conditions for vulnerable children who require our support." She added, "The Waratah Care Cottages will offer secure havens as we seek longer-term caretakers for these children. The previous administration allowed the care system to spiral, leading to rampant emergency accommodation use for children, commonly finding themselves destined to uncertain futures."
Member of Parliament Sally Quinnell underscored the previous Government's failure to create beneficial systems for children, stating, "The previous Government hurt those who needed help the most. My community prides itself on supporting the children of NSW to find safe shelter during their times of need."