New Children's Home Initiative Faces Initial Budget Pressure Amidst Rising Placements

A report submitted to the Education, Children and Families Policy Committee has indicated that establishing a new children's home, funded by redirecting existing funds, would initially place pressure on the placement budget. The core objective of this initiative is clear: young people are to be reunited with their families or transition into foster care within two years.

"I am confident that we can continue to build homes based on love, nurture and aspirational care."
— An official statement

Rise in Residential Placements Sparks Concern

Data from Knight reported a notable increase in the number of young people placed in higher-cost residential care. There has been a 57% increase, from 61 in December 2022 to 97 in December 2025.

Adding to this trend, the number of young people under the age of 10 in residential placements rose from zero to nine over the same period. These younger placements now account for approximately 10% of all residential placements.

"Councillor Toby Mallinson described this as a trend of concern both locally and nationally."
— As reported by the Local Democracy Reporting Service

Quality of Care Improves with Ofsted Recognition

In positive developments for local provision, the meeting noted improvements in the quality of care provided by council-operated homes. Three such homes improved their Ofsted rating from "good" to "outstanding," while other homes maintained a "good" rating.

Ofsted inspectors' reports highlighted the excellent practice observed, specifically stating that "relationship-based therapeutic practice is fully embedded in the love and care provided to the children."

"It is positive to hear that the most vulnerable children in the city are receiving good care."
— Councillor Gail Smith