Feb 11, 2022, Teeside Live: More children's homes eyed for Stockton to tackle £8.8m [$11.9M] costs for just 65 youngsters in care https://www.gazettelive.co.uk/news/teesside-news/more-childrens-homes-eyed-stockton-23057716
Stockton leaders are set to agree on borrowing £6m [$8.2M] to fund a raft of schemes for children in care
NE England
A multi-million pound package has been unveiled to tackle the spiralling cost of looking after youngsters in private care across Stockton.
Council leaders want to borrow £6m [$8.2M] to fund schemes including a special school expansion and more “in-house” accommodation for children in care.
Officials say meeting costs for youngsters in children’s homes and foster placements are some of the biggest challenges they face when balancing the budget.
The authority pumps in more than £20m per year for children in care at the moment - with a staggering £8.8m [$11.9M] spent on external placements for 65 young people.
Now chiefs have set out aims to expand its partnership with “Spark of Genius” in a push to create more children's homes.
Council leader Bob Cook said they wanted what was best for the 548 youngsters in council care….
It sees the council own three children’s homes and Norton's King Edwin school, on Mill Lane, while Spark of Genius manages and operates the facilities.
Initial plans were to create four homes - but only Red Plains, in Hartburn, the Old Vicarage, Stillington, and Fairview, in Thorpe Thewles, are open for the time being….
Some Teesside youngsters in care have been placed hundreds of miles away in the past.
Cllr Cook said its joint venture with Spark of Genius had saved £860,000 [$1.2M] per year so far - with more children now in homes within the borough’s boundaries.
“This £6m investment would allow us to take that further,” he added.
“It would mean we could explore opening more children’s homes – either through the existing joint venture model or our own “in house” service or a combination of both – and reduce the number of children looked after outside of the borough even further.”
A deal on the fourth home hasn’t been struck yet - but leaders want to get this done and create a fifth home focussing on learning disabilities and autism….
Cllr Cook added: “The cost savings would also be significant as every out-of-borough and private sector placement costs around £135,000 [$184K] a year, as opposed to around £100,000 [$136K] a year for in house placements.”
Meanwhile, a £4.2m [$5.7M] package to expand council-owned King Edwin School, on Mill Lane, is also on the cards.
Officers say demand outstrips supply in special schools at the moment - despite an “active private sector market” - and the aim is to create places for an extra 36 youngsters at King Edwin.
Officials also say “market failure”, demand outstripping supply, and communities opposing new developments are challenges when it comes to looking after youngsters in care.
The residential children’s home market is being examined by the Competition and Markets Authority at the moment - with concerns some of the larger private providers are earning higher profits than the CMA would expect.
The number of children in care has remained broadly the same in Stockton since 2019 - but, like other councils, it has needed to place more youngsters in residential care at higher cost….
Red Plains Children's Home in Stockton
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