Overview
- A Public Accounts Committee report finds nearly 800 children in England were in unregistered residential care in September 2024, staying about six months on average.
- Ofsted opened nearly 900 investigations into suspected unregistered homes in the year to March 2025, with fees reported as high as £30,000 per child each week.
- The committee describes the system as dysfunctional and warns risky stopgaps have become routine for councils lacking suitable registered placements.
- National Audit Office data shows local authority spending on residential care almost doubled to £3.1 billion by March 2024, reflecting a strained and high-cost market.
- MPs cite registration delays and uneven provision across regions, and sector bodies call for a coordinated plan as the government has yet to detail its response.