To receive the Year End 25/26 Performance Report - Children's Services. [Report attached]

Contact: David Shaw - Director of Children's Services

Sonya Miller, Service Director Children's & Young People presented the Year End 25/26 Performance Report for Children’s Services, providing an overview of end?of?year performance, demand trends and outcomes. She advised that the report was intended to give members a comprehensive picture of performance to support scrutiny and statutory responsibilities. It was highlighted that Children’s Services benchmark well against most key indicators and that performance was monitored weekly, allowing issues to be identified and addressed promptly. She reported a continued downward trajectory in the number of children looked after, with rates reducing over the last three years, alongside a lower?than?average rate of children entering care and a higher?than?average rate of children ceasing care.

Members attention was drawn to pressures relating to children aged 0–5, the increasing complexity of need, the growing use and cost of residential provision, and capacity challenges in foster care. It was emphasised that care planning was complex, must be driven by the child’s needs and timescales, and required coordination across education, health and social care.

Members welcomed the report and acknowledged the range of positive performance indicators, including improved early help, foster carer recruitment and strengthened decision?making. Members asked how confident officers were that the reduction in children looked after would continue. Officers confirmed confidence in the ongoing downward trend, supported by strengthened early help, Family First Partnership reforms, and improved care proceedings while noting that future numbers must still reflect the level of harm and need within the county.

Members were advised that the Stepping Stones programme played an important role in early intervention and prevention, contributed to improved outcomes for children, and supported demand management and longer?term financial sustainability by reducing reliance on high?cost care placements. It was added that a report would be presented to Cabinet in June, setting out Children’s Services transformation plans with a strong emphasis on early help and Stepping Stones, including how prevention and early intervention will be further strengthened through service reform and investment.

Questions were raised regarding the high use of residential placements, out?of?county placements and financial pressures. Officers explained national and local market challenges, the limited availability of foster placements for younger children with complex needs and that work was underway with commissioning colleagues to secure more local provision and increase capacity.

Members raised concerns about the level of Community Infrastructure Levy (CIL) funding held by the Council and suggested it could potentially be used to support children’s residential provision. Officers advised that the use of CIL for new children’s homes had been considered but noted that expansion of in?house provision was constrained by workforce capacity and stability, rather than the availability of buildings. It was explained that while the Council delivers high?quality children’s homes, expanding provision too quickly could destabilise existing services due to staffing pressures.

Members asked about the impact of COVID?19 and wider system issues on historically high numbers of children looked after. Officers outlined factors including court delays, reduced availability of community services, increased non?accidental injuries, large sibling groups and the impact of national transfer arrangements, and advised that detailed analysis had previously been undertaken and this information would be shared with members.

Further questions related to modelling future demand, benchmarking, and comparative performance. Officers confirmed that modelling work was underway to project future children looked after numbers and associated workforce and financial implications, and that this would inform forthcoming transformation and Cabinet reports.

Members agreed that housing had emerged as a significant issue contributing to children’s social care pressures and that it should be looked at further through the scrutiny process. Officers confirmed that housing?related factors were being analysed through needs and harms work, and Members emphasised the importance of ensuring the issue was picked up through the Council’s scrutiny arrangements rather than being overlooked.

Recommended:

That the Committee:

1.    Note the contents of the report and the year-end performance position for Children’s Social Care for April 2025 to March 2026.

2.    Consider the key demand, activity, and placement trends, including the principal factors contributing to cost pressures.

3.    Acknowledge the progress made in reducing CLA numbers.

4.    Support the actions being taken to mitigate financial pressures and manage future demand.

5.    Request continued regular performance and financial updates.