The government announced plans to clear 90% of SEND debts built up by councils in recent years, a move that has been hailed by many.
In the past 12 hours, ministers confirmed they will spend £5bn to cover the majority of the debts English councils have accrued while supporting children and young people with special educational needs and disabilities (SEND).
The announcement follows warnings from the Local Government Association (LGA) that eight in 10 councils in England could face bankruptcy if they were required to absorb historic SEND deficits.
Cllr Louise Gittins, chair of the LGA, welcomed the decision. She said: ‘We are pleased the government has announced a significant funding package to tackle 90% of the historic high-needs deficits which removes the immediate threat of insolvency for many councils.
‘This is recognition that these costs are not of councils’ making and have accrued due to a broken system that is urgently in need of reform. However, fully writing off historic and future high needs deficits remains critical.’
Councils have a legal duty to identify and support children with special education needs, but rising demand has pushed spending far beyond the funding they receive from central government. Data from the County Councils Network (CNN) suggests SEND deficits across English councils could rise to £17.8bn by 2029 without reform.
Under the new plans, councils in England will receive a grant from the autumn covering 90% of SEND deficits built up by the end of the current financial year. The funding applies to the high needs block of the dedicated schools grant, which is used to pay for SEND support.
Cllr Tim Oliver, chair of the CCN, said the announcement means council leaders ‘can breath a sigh of relief knowing they no longer face a financial cliff edge in nine months’ time.’
‘We now need to ensure that the government’s commitment to support councils to mange their SEND deficits rings true,’ Oliver continued. ‘Despite the extension of the statutory override, many councils still face a number of issues, including rising debt outstripping reserves, mounting interest payments, and lost investment income.
‘For some, this could mean reducing services elsewhere or running into extreme financial difficulty.’
The government is expected to outline further details on how it plans to deal with any deficits between April 2026 and April 2028, when the statutory override is due to expire, in its forthcoming Schools White Paper.
Oliver added: ‘It is critical government sets out a comprehensive solution later this year. This should include writing off deficits and compensating councils who went through the pain of ‘Safety Valve’ agreements, ensuring that the slate is wiped clean s local authorities can begin driving through badly-needed reforms to ensure the SEND system works for young people, families and councils alike.’
Image: Thomas Kelley/UnSplash
In related news:
Childline handles over 50 daily suicide counselling sessions
Leave a Reply