STORY
The Government has announced plans to curb profiteering by private companies providing children’s social care services to councils. Ministers have legislated to introduce and enforce a statutory profit cap if market monitoring shows it is needed, as part of reforms aimed at changing what they describe as a broken placements system.
The changes include expanding fostering provision, supporting families earlier and reducing reliance on residential care. The Local Government Association said councils share the Government’s ambition to ensure vulnerable children receive the care and support they need while tackling excessive profits in parts of the children’s placement market.
The wider announcement forms part of the Government’s Neighbourhood Guarantee, which includes new powers for councils over high streets, empty properties and local service design. Communities Secretary Steve Reed said the measures were intended to show respect for the places people call home and give local people clearer standards to expect.