Welsh Councils Express Concerns Over Elimination of For-Profit Care Homes

COUNCILS are reporting concerns about the impact of a massive change to law around children in care in Wales to the Welsh Government, councillors have been told. 
The Labour government’s eliminate agenda will mean from 2026 councils will no longer be able to place children who are in their care with care homes, or providers, that operate on a for-profit basis. 
From 2027, councils will also no longer be able to use existing for-profit providers and operators that intended continue to provide placements, funded by unitary authorities, will have to switch to a not-for-profit model to continue working in Wales. 
As a result Monmouthshire County Council has started taking steps to provide its own care homes which it will staff itself as well as working with not-for-profit bodies.
Torfaen is also taking similar steps while Newport and Caerphilly Borough Council already have their own provision. 
Torfaen councillors were warned this week, when they discussed how to respond to an over spend in children’s care, that “instability” as a result of the planned changes and members in Monmouthshire were told their authority is also concerned. 
A report for a scrutiny committee stated: “The private ‘for profit’ provider market has become significantly destabilised following the Welsh Government’s policy direction.” 
It said this has resulted in further decrease in the number of placements available with independent foster carers, who are often sourced through private agencies, and residential placements increasing costs for councils, which have also seen an increase in the number of children taken into care over the past decade. 
Conservative Councillor Alistair Neill said it was important the council provides this feedback to the Welsh Government, and head of children’s services Dianne Corrister said heads of service have been meeting through the Welsh Local Government Association and are providing feedback to the government. 
Councillor Ian Chandler, the Green Party council cabinet member for social services, said eliminating profit will “lead to better outcomes for children” and said councils are “making sure the Welsh Government is fully aware” of the challenges. 
Cllr Chandler also said the change wouldn’t “necessarily lead to cost savings” but should eventually make provision of placements more stable. ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​

By BBC LDRS ‌​‌​‌​​​‍‌​‌​​‌‌‌‍‌​‌‌​​‌​‍‌​‌‌‌​‌‌‍‌​‌‌‌‌​​