Jo Fisher, Chair of the ADCS Regional Improvement and Inspection Policy Network, said:

"There are many factors contributing to the picture here.  While Ofsted is continuing to approve new supported accommodation and children’s homes, local authorities are also working hard to open homes of their own using local funding or investment from government. And, while it is the case that there is a headline increase in the number of registered children’s homes, they are on average smaller and the geographical imbalance of these homes across the country continues, which means that children are more likely uprooted from their communities and placed far away.

"Recent media scrutiny has also put the lack of placements in the spotlight, raising awareness of the vast profits being made in the sector. While the government has shared its intention to act on profiteering and the reach of private equity in the children's care sector, this has not yet deterred investors from entering the market. Given 85% of provision is now privately owned; we are still a long way from rebalancing the provision.

"It is difficult to say whether this current rate of growth will continue as we cannot forecast the number of children, especially those with the most complex needs, that will need to come into care. We also don't yet know how the development of new Regional Care Cooperatives and Fostering Hubs might impact here over time.”

"As for supported accommodation inspection outcomes, we want to see them performing well, but it is still very early in terms of regulation and inspection for the sector and for the inspectorate, this is a wholly new ask and area of activity."

ENDS

The Association of Directors of Children's Services (ADCS) Ltd is the professional leadership association for Directors of Children's Services and their senior management teams in England.