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The performance of children with special educational needs at school in England has flatlined or declined in the past decade as the cost of provision has risen sharply, prompting councils to confront a “financial cliff edge”, a study has found.
The two main bodies representing councils called for an overhaul of educational services in response to the report, which was released jointly on Thursday by the County Councils Network and the Local Government Association.
Just 8 per cent of year six students who have special educational needs and disabilities (Send) achieved the expected level in reading, writing and mathematics in 2022-23 — the same level recorded in the 2016-17 school year.
Meanwhile, 30 per cent of children receiving extra support achieved the equivalent of five GCSEs with A* to C grades by the age of 19 — down from around 37 per cent in 2014-15.
The findings show that councils are “struggling to cope” with the rising number of children who have special educational needs, alongside mounting financial pressures.
The report warned that councils faced a financial “cliff edge”, with an estimated £12bn expected to be spent on specialised children’s services by 2026, compared to £4bn in 2014.
The study, conducted by research group Isos Partnership on behalf of the CCN and LGA, predicted councils would confront a £5bn “funding black hole” to meet demand in 2026.
The research, which assessed performance in schools, found that attainment had on average flatlined or fallen for children receiving special educational support between the academic years 2014-15 and 2022-23.
The Children and Families Act passed in 2014 expanded the type of help available to children with special needs and widened its availability beyond the age of 16 to 25.
But it allowed councils, who have responsibility for supporting children with special needs, to keep the costs of meeting rising demand for this support off their balance sheets.
An initial deadline for those costs to be included in the legal duty of councils to balance their budgets was extended from March 2023 to March 2026.
Council officials said they needed more time to prepare for the next deadline, putting pressure on the new Labour government to extend it further.
The report forecast that one in four councils could be effectively bankrupted by future spending on Send services.
It is becoming “increasingly clear” that special educational needs support represents an “existential threat to the financial sustainability of local government”, local government leaders said in the report.
Tim Oliver, chair of the CNN, which represents 37 of England’s biggest local authorities, said: “As this landmark report shows, the case for reform is unquestionable. With a new government in place and elected on a ‘change’ platform, it is vital that reform happens over the next 18 months.”
Education secretary Bridget Phillipson said: “This diagnosis is damning: educational outcomes for children with Send are flatlining after years when councils and parents have been pitted against each other.
“This government will take a different approach, whether it’s transforming the early years to intervene earlier . . . or launching our curriculum and assessment review to put high and rising standards and inclusion together at the heart of every school.”
Additional reporting by Amy Borrett
