Unregulated children’s homes are reportedly charging up to £20,000 per week per child for their services, according to reports from the Family Court. Despite such high fees, such facilities are allegedly failing to adequately protect vulnerable children. Increased demand for residential placements, particularly for children with complex needs, has led to costs described as “breathtaking” by a senior judge. One local authority area has reportedly seen estimated costs more than double in three years to £16m, thereby posing a risk of bankruptcy.
Reports suggest that local authorities have no other option but to use unregistered homes, unregulated by Ofsted. In some cases, some homes are reluctant to take on certain cases that are deemed too high risk. A senior manager at Cheshire East Council indicated that one home was charging £16,000 a week per child, which translated to around £830,000 a year. Despite such fees, children are still reportedly at risk of harm with some running away frequently and engaging in substance abuse and violent behaviour.
The Family Court has issued Deprivation of Liberty orders, which enables authorities to closely monitor children by obligating facilities to have at least two staff members to oversee the children’s activities. The fact that unregulated homes are being relied on to house young people, some of whom are at very high risk, has raised concerns about profiteering motivated by greed and attracting institutions that may be in it for the wrong reasons. The Children’s Home Association, representing providers registered with Ofsted, suggests that unregulated homes are ‘warehousing’ children, indicating that this practice consequently fails to provide kids with the support they require.
The Minister for Children and Families, Janet Daby, has reportedly announced that new measures to curb excessive profits by children’s homes providers will be outlined in upcoming legislation. The statement came in response to the concerns raised in the Family Court regarding the unregulated childrens’ homes. However, increases in demand for care placements have led to a twelve-fold increase of Deprivation of Liberty orders in just six years. Councils indicate the fears they have for the welfare of the high-risk children that end up in unregulated care, highlighting the challenges they face to keep them safe
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