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Select Committee · Public Accounts Committee

Financial sustainability of children’s care homes

Status: Open Opened: 10 Jul 2025 6 recommendations 23 conclusions 1 report

The numbers of looked after children increased by 19% to 83,360 between 2015-16 and 2023-24. Around 16% of looked after children are accommodated in children’s homes. Over the same period, local authority spending on children’s homes has increased rapidly, from £10.7bn to £14.6bn, with a 35% increase (to £97,326) in the average annual cost to …

Clear

Reports

1 report
Title HC No. Published Items Response
61st Report - Financial sustainability of children’s care h… HC 1233 16 Jan 2026 29 Responded

Recommendations & Conclusions

1 item
2 Recommendation 61st Report - Financial sustainability … Rejected

Reaffirm commitment to reducing children in unregistered homes to zero by 2027 and detail specific actions.

It is unacceptable that children are placed in illegal settings that are not inspected, increasing safety risks and offering no assurance over the quality of care. Over the last five years, local authorities have reported placing more and more children into unregistered homes. It is illegal to run a children’s …

Government response. The government rejects the recommendation to reaffirm a commitment to zero children in unregistered homes by 2027, stating that a fixed deadline does not reflect the complexity. However, it outlines actions to tackle the issue, including £560 million capital funding, …
HM Treasury

Oral evidence sessions

1 session
Date Witnesses
17 Nov 2025 Dr Mark Kerr · Children’s Homes Association, Gila Sacks · Department for Education, Isabelle Trowler CBE · Department for Education, Joe Lane · Citizens Advice, Rachael Wardell OBE · Association of Directors of Children’s Services, Susan Acland-Hood · The Department for Education View ↗

Correspondence

4 letters
DateDirectionTitle
27 Apr 2026 From cttee Letter to the Permanent Secretary to the Department for Education relating to T…
12 Jan 2026 To cttee Letter from the Chief Executive Officer of IESE CIC relating to the written evi…
8 Jan 2026 To cttee Letter from the Chief Executive Officer at the Children’s Homes Association rel…
8 Dec 2025 To cttee Letter from the President of the Association of Directors of Children’s Service…