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Cost of unregistered children's care homes a national scandal, says Ofsted

Cost of unregistered children's care homes a national scandal, says Ofsted

Summary

Ofsted reports that many councils in England place children in unregistered care homes, which can charge high fees, due to a lack of available spaces in registered facilities. The report highlights that this situation is part of a larger problem with the care home system, including issues of location, cost, and suitability of homes. Ofsted and other organizations are calling for government action to correct these issues and prevent the use of unregistered homes.

Key Facts

  • Unregistered children's care homes in England can charge up to £30,000 a week per child.
  • Nine out of ten councils use unregistered homes due to a shortage of registered spots.
  • There are 4,010 registered children's care homes in England, a record high with a 15% increase from the previous year.
  • Ofsted conducted 870 investigations into care homes, finding 680 of them unregistered.
  • Opening care homes in cheaper areas despite demand mismatches leads to system imbalances.
  • Council spending on children's care homes rose to £8.1 billion in 2023-24, up from £3.9 billion in 2015-16.
  • Running an unregistered care home is illegal, but current penalties are limited to warning letters; new legislation may introduce fines.
  • Calls for a national plan to address these issues have been made by various stakeholders, including the Children's Homes Association and local government representatives.

Source Information