Select committee: Education Committee
Conclusion 22
4th Report - Children’s social care
Published 10 Jul 2025
Addressed to Department for Education
Education Committee Children’s social care All items in this report Report on parliament.uk ↗ Inquiry on parliament.uk ↗
Conclusion (the committee's words)
The proposed profit cap has the potential to be a useful tool for the Department if needed, but we do not think it is acceptable for the Department to introduce this significant intervention in the market with 85 only limited opportunities for parliamentary scrutiny and no transparency around how and when the Department will decide if it is necessary to trigger the cap. (Conclusion, Paragraph 57)
From: Education Committee, 4th Report - Children’s social care (HC 430), 10 July 2025
Government response
The government responded to the whole report on 17 October 2025 (deadline 10 September 2025).
Summary written by Accountability Index from the government's response. It is not the government's own words.The government says its reform programme, backed by investment of "over £2 billion", addresses many of the Committee's concerns, and accepts some recommendations while declining others such as a national sufficiency strategy.
- On out-of-area placements and sufficiency, it does "not believe a national sufficiency strategy would be responsive enough" to local needs, and says national reporting of reasons for out-of-area placements would be "costly" to local authorities.
- On a profit cap, it would consider one "only if" other measures are not successful, and "can commit to consulting specifically with the Committee" as part of the process.
- On kinship care, it does not currently plan to extend Pupil Premium Plus or admissions priority, citing "limited evidence", but is exploring collecting data through the school census.
- On a national register of foster carers, it is "considering the potential costs and benefits" and will engage stakeholders to "determine next steps".