Children’s Homes

Lucy Allan Excerpts

Tuesday 19th April 2016 Westminster Hall

[Ann Coffey (Stockport) (Lab)]

I beg to move,

That this House has considered children’s homes.

It is a pleasure to serve under your chairmanship, Mrs Gillan. In October last year, the Prime Minister announced a review of children’s homes led by Sir Martin Narey. The final report is due this spring. The review

“will look at which children should be in residential care, how it can be improved and how government can achieve the very best for every single child in their care.”

It is a huge and complex task, and an important review. The area that interests me in the review is the commissioning of residential care homes and distant placements.

By way of context, Ofsted figures show that in 2015, 69% of children’s homes were in the private sector, 8% were in the voluntary sector and 23% were run by local authorities. The number of children’s homes run by local authorities has decreased and the number run by the private sector has increased. Seventy-one per cent of private providers own one to two homes. The largest private companies provide just over a quarter of all placements. Owners range from families to private equity and venture capital companies.

I first initiated a debate on children’s homes in March 1995, on the issue of the registration of children’s homes. At the time, homes providing care to fewer than four children did not have to register and were not inspected. Social workers were responsible for fire inspections—the situation was completely astonishing. Clearly, we have come a long way since then in regulation and inspection, but in that debate, I expressed concern about the most vulnerable children being placed hundreds of miles away from home. Twenty-one years later, I am still expressing the same concern, and we still have a long way to go.

It is staggering that despite successive Governments calling for a clampdown on distant placements, the latest figures show that the number of children being sent away has increased. The 2014 Department for Education data pack shows that in 2013, 31% of children in children’s homes were placed 20 miles or more from their local area—an increase of 2% from 2011. In fact, 35% of new placements in 2014 were distant placements. It is clear that one reason is the unequal distribution of children’s homes in England. Until we sort that out, we will never be able to solve the problem of vulnerable children being placed miles away from home, with all the horrendous problems and risks that can flow from that. The present situation in the continuing unequal distribution of children’s homes demonstrates a continuing catastrophic failure of the care market for some children. It seems to be working for the providers but not for the children themselves.

In 2012, a joint inquiry into children missing from care was conducted by the all-party group on runaway and missing children and adults, of which I am the chair, and the all-party group for looked-after children and care leavers. It was supported by the Children’s Society. One of the main conclusions was that the unequal geographical distribution of children’s homes meant that large numbers of vulnerable children were placed at a distance from their home area. We found that many placement decisions were last minute, driven by what was available at the time rather than by the needs of the child. This meant that the child was often not involved in planning. Children told the APPG inquiry that they felt dumped in children’s homes many miles away from home. That increased their propensity to go missing and to come to harm from, for example, sexual exploitation.

The recommendations of the APPG report, including a call for urgent action on reducing the number of out-of-borough placements, were accepted in full by the Government and changes were made to regulations. An expert group on the quality of children’s homes was set up and reported to the Department for Education in 2012. A key finding in the expert group’s report was that local authorities could not overcome the uneven pattern of supply of children’s homes across England through their commissioning arrangements. In other words, the locations of children’s homes were determined, and continue to be determined, by providers.

According to Ofsted, a third of all local authorities— 54 in total, when excluding short-break provision—run no children’s homes. With local authority and voluntary sector provision decreasing, this means greater dependency on the private sector for places in children’s homes. That makes it even more essential that we address urgently the underlying issues that result in the unequal distribution of private children’s homes and the resulting distant placements.

In 2012, the DFE data pack showed that homes were concentrated in the north-west, the west midlands and the south-east. As of March 2015, that situation is unchanged—Ofsted stats show that Lancashire, Kent and the west midlands have the highest number of places, and London the fewest. The local supply of children’s homes places does not reflect the needs of local looked-after children. The situation is most extreme in London, which has 17% of the children’s homes population but only 6% of children’s homes. The north-west has 15% of the children’s homes population but has 25% of the children’s homes. In Greater Manchester, 71% of the children living in children’s homes in Rochdale came from outside the borough, and in Stockport, the number was 63%. Some authorities in England have no children’s homes at all and all their children are placed outside the borough.

Why are distant placements a problem? Children placed in care homes face huge challenges compared with other children in care. They are typically older and more likely to have emotional and behavioural difficulties. They are more likely to have substance misuse issues, more likely to have engaged in criminal activity, and more likely to be excluded from school and achieve worse GCSE results. They are also more likely to go missing from their placement, and those who go missing are more likely to go missing multiple times. Again, however, that was not the fate of all children in children’s homes: stability of placement is a critical factor in improving outcomes, but distant placements can make it more difficult to secure that stability for a child.

Ofsted’s 2014 thematic review, “From a distance”, highlighted a number of serious continuing problems in this area. Its research showed that in far too many cases, the local authorities in its sample were failing to pay appropriate attention to the quality of care provided, leaving too many children without the support and help that they needed. It is not difficult to understand why: with pressure on social work time, it is easier to make time to visit a child in a near placement than a distant one. Last year, 520 London children were placed an average distance of 52 miles and an average journey time of 69 minutes from their home area. That makes it very difficult for children to keep in contact with their family.

It is not clear to what extent the situation has improved since Ofsted’s “From a distance” report. If we look at the single inspection framework reports published by Ofsted in the last year, we see that although in many authorities work with children in distant placements was generally good, in just under half the reports, the work with children living far from home did not come up to standard. The most common shortfall was that decisions to place children out of the area were driven by a shortage of placements close to home rather than by individual need.

The last Labour Government placed a duty on local authorities to secure sufficient accommodation for looked-after children in the local authority area, so far as is “reasonably practicable”. The intention was to ensure local provision for looked-after children so that they could be placed nearer home, with access to friends, family and support services. Local authorities are required to publish a local sufficiency plan detailing how they are meeting that duty. However, the numbers of children sent away from their home area remains stubbornly high, despite the existence of those plans.

Why are so many children still being placed in distant placements? A major reason, as the expert group said in 2012, may be that although individual local authorities can recruit foster carers to meet local needs, they are not able similarly to influence the supply of children’s home places in their areas. It is also not clear if and to what extent the experiences and choices of children are influencing care provision. In preparing the “Real Voices” report on child sexual exploitation in Greater Manchester, I talked to children who had been in children’s homes. What was important for them was being listened to; they thought decisions about where they lived should be made with them rather than imposed on them, so it is important that there is choice in placements, including local choice.

The reasons for the geographical distribution may be that property costs are lower in some areas, that health and education support services are better in some areas, that the planning process is easier in some local authorities, that there are existing good relationships or that having a cluster of homes is easier. However, even in those areas that have a sufficient supply of children’s home places to meet local demand in principle, it may not be possible for the local authority to guarantee placements to providers in advance, and providers will not hold places, meaning that in the event children may still be placed out of their home area although there is actually a sufficiency of local places.

That is the situation in Greater Manchester. In February 2014, Greater Manchester had 192 regulated children’s homes. In 2013, 390 children were placed in children’s homes by the 10 local authorities; 185 of those children were placed in another local authority area. Rochdale, which has a high number of children’s homes, placed 41% of its children inside the local authority area and 18% of children more than 20 miles away, while in the children’s homes in the borough, 71% of the places went to children from outside the area, and of those 45% were from outside Greater Manchester. By contrast, in Stockport, which also has a high number of homes, 88% of the children were placed within the local authority boundary, but again they accounted for only 36% of the local children’s home places; 64% were from other local authority areas and, of those, 28% came from outside the Greater Manchester Police area.

Private and independent providers dominate in both boroughs. In Rochdale, the majority of the private providers are homes containing just one or two placements, while in Stockport the homes are larger and there has been a long relationship with the Together Trust, a voluntary sector organisation. That may go some way towards explaining the different figures.

In terms of distance and familiarity with an area, a child from Bury placed in Stockport will feel a long way from home in a place that is unfamiliar, and they may well respond by going missing. Greater Manchester Police calculate that missing children in Greater Manchester cost the police up to £30.9 million a year, and there are additional difficulties in keeping children safe when information needs to be passed across police boundaries.

Given all that, it is ludicrous that we have an oversupply of children’s homes in some areas that do not guarantee a place for local children, while children from areas many miles away that have few children’s homes are placed in Greater Manchester. That chaotic situation sometimes has long-lasting consequences for the children concerned.

[Lucy Allan (Telford) (Con)]

I am delighted that the hon. Lady has secured this very important debate. Will she join me in welcoming Sir Martin Narey’s review of residential children’s homes, and does she agree that sometimes children can have incredibly positive experiences in the residential care system?

[Ann Coffey]

I will of course agree with the hon. Lady: children’s homes are an important part of the care system. It is equally important that children’s homes offer the highest-quality care, and it is very important that children’s homes are where they need to be, which is the point I am making.

The situation is just as difficult where there is an undersupply of places. A local authority struggles to attract new providers when it cannot guarantee bed occupancy.

What is the answer? In 2014, the Select Committee on Education said:

“We can see the attraction of adopting a rule which prohibits the placement of children more than 20 miles from home unless there is a proven need to do so.”

That would work only if it were part of a wider strategy to tackle the unequal distribution of children’s homes. Local authorities could increase the number of homes that they run, especially in areas that have little or no private provision. They could do that by using available capital borrowing powers or, if they do not want to manage the homes directly, they could provide the capital and a provider could manage the home.

Alternatively, the answer might be the co-commissioning of private providers by a consortium of local authorities. At present, there are regional or sub-regional frameworks in place to purchase places from providers, but in practice those can amount to little more than “catalogues” giving information about homes. Co-commissioning is a challenge, but one that recent devolution facilitates. For the 10 local authorities in Greater Manchester, it offers not only an opportunity for all children’s services to look at how they can use their individual resources such as fostering services in a more co-operative way, but an opportunity to commission from the private sector the provision that will meet the needs of children in Greater Manchester. The DFE could helpfully publish a toolkit for consortiums of local authorities showing them how legally and financially they could structure regional and sub-regional commissioning of children’s home places to meet projected need, instead of merely relying on spot purchasing.

There is a large sum of unspent capital allocated for free schools. Perhaps providers could work with consortiums of local authorities to bid for that funding. Local authorities can currently access basic need funding from the DFE to provide sufficient school places, and capital funding for the childcare offer for two-year-olds. Why should that not be the case for residential placements for looked-after children?

Greater Manchester could provide the perfect test bed for any new approach, as could any other group of local authorities willing to work together, as the problems differ from area to area, depending on the number of children’s homes, local policies and the needs of the looked-after children.

Structural problems with the children’s homes market have no easy solutions. That said, if we mean what we say about seeking to

“achieve the very best for every single child in…care”,

we must overcome them. We cannot allow this situation to continue. I hope that Sir Martin Narey’s review will recognise that reducing distant placements should be at the heart of reforms to the children’s homes market and that therefore action must be taken by the Government, by local authorities and by providers to tackle the unequal geographical distribution of children’s homes.