Councils’ Emphasis On Costs Leaves Voluntary Sector Out

Local authorities are not referring enough children to voluntary sector children’s homes, reports a new study. This, the first major examination of voluntary sector provision of residential care, found 58% of providers had experienced a downturn in levels of occupancy in the last two years.

The research, carried out by the National Centre for Excellence in Residential Child Care and the Social Care Association and published by VCS Engage, shows a growing concern about the rise of a cost-driven culture in residential child care.

According to the study, The Impact of Market Forces on the Operation and Capacity of the Residential Child Care Sector, the role of voluntary and community sector providers is being weakened by an emphasis on the cost of child care placements, despite commissioners acknowledging that voluntary providers offer high-quality provision for specialist needs.

Commissioners also told researchers cost was a determining factor in choosing placements. “In order to continue to prosper, providers have to have regard for how they think the market for services is changing rather than thinking about how they can operate more effectively as a sector,” says the report. “Both commissioners and providers report a need to establish a joint understanding of the work of both.”

Jonathan Stanley, manager of the national centre, said: “Respondents have cited the need for improved communications and an increased understanding of the relationship between providers and commissioners. Both commissioners and providers have said that they want more clarity and transparency in terms of pricing and service provision, with a shift of emphasis from cost to value for money.”

The report says councils and the voluntary sector should work together to ensure there are enough specialist facilities, such as provision for disabled teenagers, in each area. They should also develop a placement protocol.