Performance Tracker 2022: Children's social care

The pandemic has made it more difficult for local authorities to ensure children’s safety, exacerbating existing long-term problems facing the sector. During the height of the crisis, limited spare capacity in the residential sector fed into higher costs as authorities sought out accommodation. The number of children in care remained at an all-time high as fewer children could be safely discharged – this is despite referrals to social services falling dramatically, principally during lockdowns.

It is too early to know whether cases that did not get referred will show up or the extent of additional harm suffered by children during this time, though there have been some notably tragic cases. Several highly critical recent reviews have called for radical overhauls of the system to improve the quality of children’s social care. This chapter examines children’s social care in England. These services are provided by upper tier local authorities, which are legally obliged to provide support for disabled children, to protect children from harm, and to take responsibility for ‘looked-after children’, including through foster and residential care placements.

Spending on children’s social care is increasing pressure on local authority budgets

Local authorities spent £10.0 billion on children’s social care in 2020/21, a 34.9% rise in real terms compared to 2009/10. ¹⁵⁷ Department for Education, ‘Local authority and school expenditure 2020 to 2021’, 16 December 2021, www.gov.uk/government/statistics/la-and-school-expenditure-2020-to-2021-financial-year By comparison, the children’s population grew by less than 10% over the same period. The sustained increase in children’s social care spending continues to squeeze other areas of local government spending. ¹⁵⁸ Atkins G and Hoddinott S, Neighbourhood services under strain, Institute for Government, 29 April 2022, www.instituteforgovernment.org.uk/publications/neighbourhood-services

Spending has also prioritised children’s social care at the expense of other services for children. Spending on safeguarding children and young people’s services increased by 25%, and on looked-after children* by 42%, between 2009/10 and 2020/21. ¹⁵⁹ Department for Education, ‘Local authority and school expenditure 2020 to 2021’, 16 December 2021, www.gov.uk/government/statistics/la-and-school-expenditure-2020-to-2021-financial-year Over the same period spending on services for young people was cut by 63% – Sure Start children’s centres and other spend on children under five fell by 72%. ¹⁶⁰ Ibid.

The government-commissioned independent review of children’s social care has called for a roughly £2bn (20% in cash terms) uplift to children’s social care spending over the next five years. ¹⁶¹ The Independent Review of Children’s Social Care, Final report, May 2022, p. 8, https://childrenssocialcare.independent-review.uk It also called for a rebalancing of priorities away from crisis interventions towards earlier stage interventions with an annual amount of £1bn ring- fenced for family help. ¹⁶² Ibid., p. 9.

_{*A child who has been in the care of their local authority for more than 24 hours is known as a looked-after child. Looked-after children are also often referred to as children in care.}

Local authorities faced additional pandemic-related children’s social care spend, particularly on residential care

During the 2020/21 and 2021/22 financial years, local authorities spent £820.6 million on pandemic-related social care costs. ¹⁶³ Institute for Government analysis of DLUHC, ‘Local authority COVID-19 financial impact monitoring information round 20’, 12 August 2022, www.gov.uk/government/publications/local-authority-covid-19-financial-impact-monitoring-information Almost half (48%) of these extra costs in 2021/22 were accounted for by the higher cost of residential care placements for children. ¹⁶⁴ Ibid. The cost of these placements rose sharply during the pandemic due to infection control measures and higher residential staffing costs. ^{165 Institute for Government interview.   166 The Association of Directors of Children’s Services, Safeguarding Pressures Phase 7, February 2021, pp. 52–53, https://adcs.org.uk/assets/documentation/ADCS_Safeguarding_Pressures_Phase7_FINAL.pdf}

Almost a fifth (19%) of the additional pandemic-related costs – totalling £159.5m during 2020/21 and 2021/22 – came from workforce pressures as local authorities and providers faced higher unit costs from agency staff. ¹⁶⁷ Institute for Government analysis of DLUHC, ‘Local authority COVID-19 financial impact monitoring information round 20’, 12 August 2022, www.gov.uk/government/publications/local-authority-covid-19-financial-impact-monitoring-information Local authorities were given support to meet these and other costs through non-ring-fenced grants from central government, though the degree to which Covid-specific funding helped to offset regular children’s social care costs is difficult to assess. ¹⁶⁸ Institute for Government interview.

Additionally, the demand for children’s residential places has increased following the 2021 ban on the use of unregulated accommodation, ¹⁶⁹ Department for Education, ‘Unregulated accommodation banned for vulnerable children under 16’, press release, 19 February 2021, retrieved 18 August 2022, www.gov.uk/government/news/unregulated-accommodation-banned-for-vulnerable-children-under-16 though the practice still continues in some cases. ¹⁷⁰ Titheradge N, ‘Children in care are being illegally placed in caravans and boats’, BBC News, 20 July 2022, retrieved 18 August 2022, www.bbc.co.uk/news/uk-62127523 Overall, despite the number of children’s homes increasing by 184 to 2,776 between August 2020 and 2021, ¹⁷¹ Ofsted, ‘Main findings: local authority and children’s homes in England inspections and outcomes – autumn 2021’, 24 November 2021, www.gov.uk/government/statistics/local-authority-and-childrens-homes-in-england-inspections-and-outcomes-autumn-2021/main-findings-local-authority-an…;– all children’s homes; Ofsted, ‘Main findings: local authority and children’s homes in England inspections and outcomes – autumn 2020’, 20 January 2021, www.gov.uk/government/statistics/local-authority-and-childrens-homes-in-england-inspections-and-outcomes-autumn-2020/main-findings-local-authority-an…;– registration activity since April 2020. it is likely that capacity was still outstripped by demand. ¹⁷² Institute for Government interview. Furthermore, national increases can mask local shortfalls, including in the quantity and quality of secure homes, and in placements for children with complex or challenging needs. ^{173 Institute for Government interview.   174 The Independent Review of Children’s Social Care, Final report, May 2022, p. 122, https://childrenssocialcare.independent-review.uk} These problems predate the pandemic. For example, in 2022 Ofsted analysis showed that as of March 2020 only 5% of homes stated that they could accommodate complex health needs. ¹⁷⁵ Ofsted, What type of needs do children’s care homes offer care for?, 8 July 2022, www.gov.uk/government/publications/what-types-of-needs-do-childrens-homes-offer-care-for/what-types-of-needs-do-childrens-homes-offer-care-for#needs-…

Higher profits by private residential providers have added to costs facing local authorities, with 83% of all provision in the independent sector. ¹⁷⁶ The Independent Review of Children’s Social Care, Final report, May 2022, p. 121, https://childrenssocialcare.independent-review.uk This trend was also identified in a recent report by the Competition and Markets Authority, which found private providers were making higher profits through higher prices and provision that did not always meet the needs of children. ¹⁷⁷ Competition and Markets Authority, Children’s social care market study final report, 22 March 2022, www.gov.uk/government/publications/childrens-social-care-market-study-final-report/final-report

Despite fewer children being referred to children’s services, pressures continue in the system

Referrals to children’s social care fell by approximately 45,000 in 2020/21 with 7% fewer referrals compared to 2019/20. ¹⁷⁸ Department for Education, ‘Characteristics of children in need’, 28 October 2021, https://explore-education-statistics.service.gov.uk/find-statistics/characteristics-of-children-in-need/2021 This was the lowest number of referrals since 2012/13. ¹⁷⁹ Ibid.

Part of the reason for the fall in referrals is that potentially vulnerable children had less contact with public services during the pandemic. Schools, for example, referred 30.6% fewer cases in 2020/21 than in 2019/20. ¹⁸⁰ Institute for Government analysis of referral by type data in Department for Education, ‘Characteristics of children in need’, 28 October 2021, https://explore-education-statistics.service.gov.uk/find-statistics/characteristics-of-children-in-need/2021

It is unclear whether missing referrals during the pandemic will lead to higher referrals at a later date. ¹⁸¹ Atkins G, Pope T, Shepheard M, Tetlow G and Kavanagh A, Performance Tracker 2021, Institute for Government, 19 October 2021, p. 68, www.instituteforgovernment.org.uk/publications/performance-tracker-2021 Referral data for 2021/22 is currently unavailable and the picture remains highly uncertain. Some local authorities responding to a survey by the Department for Education (DfE) reported that, continuing the pre-pandemic trend, the nature of cases coming forward appears to be more complex, which may add pressures to the system. ¹⁸² Department for Education, Vulnerable Children and Young People Survey, waves 27-31, January 2022, p. 14, https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1049510/Vulnerable_Children_and_Young_People_Survey_w… A 2022 British Association of Social Workers survey of members also raised concerns that cost of living pressures could lead to unmanageable caseloads. ¹⁸³ Simpson F, ‘Children’s social work caseloads predicted to soar as living costs rise’, Children and Young People Now, 7 September 2022, retrieved 13 September 2022, www.cypnow.co.uk/news/article/children-s-social-work-caseloads-predicted-to-soar-as-living-costs-rise

The number of children on child protection plans remains high despite falling slightly during the pandemic

For the third year in a row the number of child protection plans (CPPs)* fell in 2020/21 and now stands at around 50,000. DfE analysis shows this is down 2.9% since 2020 and is at its lowest level since 2015. ¹⁸⁴ Department for Education, ‘Characteristics of children in need’, 28 October 2021, https://explore-education-statistics.service.gov.uk/find-statistics/characteristics-of-children-in-need/2021, Department for Education, Drivers of Activity in Children’s Social Care Research, May 2022, https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1080111/Drivers_of_Activity_in_Children_s_Social_Care… The number of CPPs, however, remains significantly higher than the approximately 39,000 plans in place in 2009/10. ¹⁸⁵ Department for Education, Statistical Release, OSR 18/2011, Referrals, assessments and children who were the subject of a child protection plan (Children in need census – provisional) year ending 31 March 2021, 28 September 2011, https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_ data/file/219455/osr18-2011.pdf

The continued reduction in CPPs may be attributable in part to greater delays in the family courts during the pandemic which increased the time it takes for local authorities to take children into care or other measures such as adoption or moving back to family homes. ¹⁸⁶ HMCTS, ‘HMCTS Management Information – April 2022’, 9 June 2022, www.gov.uk/government/statistical-data-sets/hmcts-management-information-april-2022, HMCTS, ‘HMCTS Management Information – April 2021’, 21 July 2021, www.gov.uk/government/statistical-data-sets/hmcts-management-information-april-2021, HMCTS, ‘HMCTS Management Information – April 2020’, 11 June 2020, www.gov.uk/government/statistical-data-sets/hmcts-management-information-april-2020

_{*After a referral, a child may be assessed under section 47 of the Children Act 1989 to be judged at a reasonable risk of harm. If that happens, a child protection plan is agreed which commits a local authority to support the child; this plan may cover their care while the child lives with their family or, for example, while they are in residential care.}

There has been a small increase in the number of children cared for by local authorities

Despite both referrals and serious incident notices falling and fewer children being subject to CPPs, social workers have continued to support a similar volume of ‘looked- after-children’* as immediately prior to the pandemic. As of March 2021, there were approximately 81,000 ‘looked-after children’, which was up 1% on the previous year and continues a longer-term rise seen over the past decade. ¹⁸⁷ Department for Education, ‘Children looked after in England including adoptions 2021’, 5 April 2022, https://explore-education-statistics.service.gov.uk/find-statistics/children-looked-after-in-england-including-adoptions/2021 This is largely due to fewer children leaving care before the age of 18. ^{188 Department for Education, Drivers of Activity in Children’s Social Care Research, May 2022, p. 7, https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1080111/Drivers_of_ Activity_in_Children_s_Social_Care.pdf}  **

_{* A child who has been in the care of a local authorities for more than 24 hours. Generally these children are accommodated in children’s homes, residential settings like secure units, or by foster parents.}

_{** It remains unclear what is the key driver of this trend. Multiple explanations have been outlined in DfE, ‘Drivers of activity in children’s social care’ research report, May 2022 (accessed September 2022) available at https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1080111/Drivers_of_Activity_in_Children_s_Social_Care.pdf, pp. 7–8, 18–24.}

Social worker staffing levels continue to rise alongside sustained levels of vacancies

The number of children’s and family social workers continued to grow with a 2% increase in 2021/22 but the proportion of vacancies remained steady. ¹⁸⁹ Department for Education, ‘Children’s social work workforce 2021’, 24 February 2022, www.gov.uk/government/statistics/childrens-social-work-workforce-2021

As of 2021/22, staff with less than five years’ experience make up 60% of the labour force. ¹⁹⁰ Department for Education, ‘Children’s social work workforce characteristics’, 24 February 2022, https://explore-education-statistics.service.gov.uk/find-statistics/children-s-social-work-workforce While there has been some improvement in the proportion of staff with two to five years’ experience, rising from 27% in 2020/21 to 29% in 2021/22, a relatively high proportion of staff (31%) have under two. This could affect the quality of children’s social care services. As The Independent Review of Children’s Social Care highlighted in May 2022, social work requires experienced, knowledgeable and skilled workers to make difficult and sensitive decisions. ¹⁹¹ The Independent Review of Children’s Social Care, Final report, May 2022, pp. 69–70, https://childrenssocialcare.independent-review.uk Yet the review noted that social work is often carried out by relatively inexperienced and early career staff who lack the supervision and support to develop skills^{. 192 Ibid.}

Staff undertook similar volumes of work in 2021 to 2020. However, the average caseload of each social worker remained higher than in 2015, with 16.3 cases per social worker in 2021 compared to 15 in 2015. ¹⁹³ Department for Education, ‘Children’s social work workforce 2021’, 24 February 2022, www.gov.uk/government/statistics/childrens-social-work-workforce-2021 The 2021 British Association of Social Workers annual survey found increasing workloads were affecting staff wellbeing. ¹⁹⁴ The British Association of Social Workers, The BASW Annual Survey of Social Workers and Social Work: 2021, 9 March 2022, p. 3, www.basw.co.uk/system/files/resources/basw_annual_survey_summary_report_2021.pdf

Increasing workload pressures linked to Covid may have contributed to the increase in turnover rate seen in 2021/22, when almost 5,000 (FTE) social work staff left their job, equating to 15.4% of the total workforce. ¹⁹⁵ Department for Education, ‘Children’s social work workforce 2021’, 24 February 2022, www.gov.uk/government/statistics/childrens-social-work-workforce-2021 A sustained turnover rate greater than 15% of the workforce since 2013/14 ultimately costs more for local authorities either directly through recruitment costs and higher wages to attract staff or indirectly through higher costs from private providers to fill staffing gaps. ¹⁹⁶ Ibid.

The impact of problems recruiting and retaining care staff and foster carers was also cited as a problem for social care quality in the recent Competition and Markets Authority investigation. ¹⁹⁷ Competition and Markets Authority, Children’s social care market study final report, 22 March 2022, www.gov.uk/cma-cases/childrens-social-care-study

Social work practices changed during the height of the pandemic but are returning to normal

Last year we reported that the pandemic had led to increased use of remote working tools while face-to-face contact was restricted. In general, regular face-to-face services resumed as restrictions were lifted, though some local authorities continued to use technologies such as WhatsApp to stay in contact with children. ¹⁹⁸ Institute for Government interview. Some councils also prepared contingency plans on how to best prioritise work in response to the Omicron wave in December 2021. ¹⁹⁹ Department for Education, Vulnerable children and young people survey, waves 27–31, January 2022, p. 6, https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/ file/1049510/Vulnerable_Children_and_Young_People_Survey_waves_27_to_31.pdf and Institute for Government interview.

Many local authorities need to improve the quality of children’s social care

The lifting of Covid protection measures saw the return to regular Ofsted inspections from 12 April 2021 (for part of the year), which meant a snapshot of service performance can be provided as the UK exited the pandemic. The local authorities that Ofsted surveyed provided a similar level of service to before the pandemic, with 76 rated either outstanding or good (51%), 53 rated as requiring improvement (36%) and 19 rated as inadequate (13%). ²⁰⁰ Ofsted, ‘Local authority and children’s homes in England inspections and outcomes – autumn 2021’, 25 November 2021, www.gov.uk/government/statistics/local-authority-and-childrens-homes-in-england-inspections-and-outcomes-autumn-2021 Of these 148 authorities, 145 saw no change to their rating, two improved and one deteriorated.*

The Independent Review of Children’s Social Care called for a radical change in services to make them more responsive, respectful and effective. ²⁰¹ The Independent Review of Children’s Social Care, Final report, May 2022, p. 10, https://childrenssocialcare.independent-review.uk This includes changes to working practices and processes, as well as reform of the children’s social care market. ²⁰² Ibid., p. 12. Echoing similar calls from the children’s commissioner, ²⁰³ Children’s Commissioner, Children’s Social Care: Putting children’s voices at the heat of reform, January 2022, www.childrenscommissioner.gov.uk/wp-content/uploads/2022/01/cco_childrens_social_care_putting_childrens_voices_at_the_heart_of_reform.pdf it also called for children’s voices to be better heard when decisions are made on their care packages. ²⁰⁴ The Independent Review of Children’s Social Care, Final report, May 2022, p. 12, https://childrenssocialcare.independent-review.uk Local authorities would need more funding to enact all these recommendations.

The number of registered serious incidents has reversed from its mid-pandemic high

Local authorities notify Ofsted when a child who was known to be at risk has later died or come to harm, using serious incident notifications. In 2021/22 there were fewer than 450 of these, compared to more than 500 in 2020/21. ²⁰⁵ Department for Education, ‘Serious incident notifications, financial year 2021/22’, 26 May 2022, https://explore-education-statistics.service.gov.uk/find-statistics/serious-incident-notifications However, it is too early to judge whether the decline in 2021/22 reflects a permanent reduction in comparison to the first year of the pandemic or whether the number will rise again in future years. ²⁰⁶ Ibid.; see also Atkins G, Pope T, Shepheard M, Tetlow G and Kavanagh A, Performance Tracker 2021, Institute for Government, 19 October 2021, www.instituteforgovernment.org.uk/publications/performance-tracker-2021

Following the tragic deaths of Arthur Labinjo-Hughes and Star Hobson a national inquiry recommended the need for dedicated multi-agency teams for every local area. ^{207 Letter from Annie Hudson, chair of the Child Safeguarding Practice Review Panel, to the Secretary of State for Education, 13 December 2021, www.gov.uk/government/publications/child-safeguarding-practice-review-panel-national-review-following-the-murder-of-arthur-labinjo-hughes   208 Child Safeguarding Practice Review Panel, ‘New expert child protection units across the country’, press release, 26 May 2022, www.gov.uk/government/news/new-expert-child-protection-units-across-the-country} If implemented, this might help to reduce the number of these incidents.