From an article by on December 3, 2025, Community Care.
Ofsted says the concentration of children’s homes in cheaper regions reflects profit-driven decisions, but the Children’s Homes Association insists the sector’s crisis is the result of long-term government neglect.
Here’s a summary of the current debate:
- The Children’s Homes Association (CHA) accused the regulator of deploying “political rhetoric” that underplayed the roles of a “long-term neglect” of residential care by the government and delays in Ofsted registering services in generating the “crisis” in the sector
- In response to the report, the CHA acknowledged that there were “serious problems with the location, affordability and suitability of homes in England”, but said this “crisis” had been “built in Whitehall, not in children’s homes”
- It said providers could only open homes in places where they were granted planning permission, where councils indicated they would place children and where services could be registered by Ofsted.
- The CHA pointed to the fact that Ofsted was taking up to 18 months to register some homes, which the regulator has said is down to unexpectedly high levels of applications.
- In response to the demand, Ofsted is prioritising applications for homes designed to tackle local shortages in provision
As the debate continues, it is clear that both oversight and support will be needed to address the challenges facing children’s homes. While regulators stress the importance of placing children’s needs first, providers warn that systemic underfunding and long-term neglect are placing the sector under strain. Finding a sustainable balance between safeguarding quality care and ensuring financial viability remains the pressing challenge for policymakers, providers, and communities alike.
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