Public Accounts Committee report on children's residential care: CCN responds

Published on
16 January 2026
Public Accounts Committee report on children's residential care: CCN responds

Today the Public Accounts Committee has released a new report on children's residential homes, with MPs warning that the system 'is not working' and that the government's vision for reform remains unclear.

The report is available to download here.

Below, the County Councils Network responds.

Cllr David Hitchiner, Children’s Services Spokesperson for the County Councils Network, said:

“As today’s report from the Public Account Committee finds, county and unitary councils face a perfect storm of rising demand for children’s homes and a shortage of available places locally in many areas. No council wants to place a young person in an unregulated home but given the national shortage of placements many are left with little choice.

“Councils are determined to address these challenges but with record numbers of children presently in the care system too many are currently locked in a vicious cycle of spending more on crisis care rather than prevention. If nothing changes, local authorities across the country could be spending as much as £12bn a year on children in care by 2030 which is why the government’s proposed reforms will be vital in creating change.

“Over a year ago the County Councils Network said that reform was urgently needed to give councils more scope to manage this market more effectively. The government must move now to ensure that the welcome measures contained in the Children’s Wellbeing and Schools Bill can be implemented as soon as possible after they become law. In addition, there must be a continued emphasis on giving councils the resources needed to rebalance the social care system towards early intervention and prevention to reduce the numbers going into care, based on the £2.6bn recommended by the Independent Review of Children’s Social Care.”

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