Source · Select Committees · Public Accounts Committee
Recommendation 18
18
Foster care households and placements have significantly decreased despite the Department's reduction goals.
Conclusion
The Department told us that it sees reducing the need for residential care as key to addressing some of the drivers behind the increased cost. It plans to reduce the need by preventing children becoming looked after by a local authority, and then by increasing the availability of foster care, which is eight times cheaper than residential care.47 However, over the period from March 2020 to March 2024, the number of foster care households fell by 9% when excluding fostering with friends and family, and the proportion of looked-after children in foster care decreased from 71% to 67%.48 We received written evidence from the National Association of Fostering Providers arguing that government must improve commissioning services for fostering, to introduce more variety and competition, and reduce bureaucracy.49
Government Response
A response document is linked to this report, dated 1 April 2026. Response attribution to this conclusion has not been verified. Read the response document ↗