While many of the services local government is tasked with delivering have experienced increasing pressure in recent years, many in the sector would agree the provision of special educational needs and disabilities (SEND) support has come under more strain than most.

In gathering evidence and insights into the Department for Education (DfE)'s handling of the system, the NAO teamed up with The MJ to assemble a group of senior management figures at The Future Forum Midlands in Stratford-upon-Avon to give the perspective of those charged with overseeing delivery on the ground.

Emma Willson, director, education value for money team at the National Audit Office, began by explaining the findings of its last report back in 2019, which found the quality of support was variable, and the system was not financially sustainable.

Despite the DfE's publication of an improvement plan in March last year, the verdict of those present was that matters have not improved – but there were suggestions for ways in which they could be.

Funding reform

One of the delegates summed up the key issues as ‘increasing demands and constrained budgets'. They added: ‘We need to understand both to achieve the outcomes we are looking for.'

Drilling further into the financial challenges, another of those present spoke of the need for funding reform to remove the ‘uncertainty' faced by many authorities and issues with current rural formulas.

The participant also raised the thorny issue of private firms ‘charging several million pounds' for their services while making profits levels of 70%, asking: ‘Children's educational outcomes are getting worse, not better – are we getting value for money for this?'

A cap on the fees charged by private sector providers was one suggestion put forward, alongside more actively reviewing education, health and care plans to consider if they were effective and efficient.

‘Sword of Damocles'

The financial situation is yet to come to a head, with statutory overrides enabling councils to balance the books temporarily, but huge SEND deficits remain as ‘a sword of Damocles hanging over the sector'.

The same delegate added: ‘It leaves everything in limbo – there is a burning platform around this, the majority of authorities will go into section 114s if the statutory override is not extended.

‘But these deficits aren't sitting on local authority books because of failure.

‘If they reset it without resetting the reasons why it happened, they will just occur again.'

Another warned: ‘The statutory override will be the thing that tips a lot of authorities over the edge.'

One speaker suggested the statutory override should be extended for three or five years, adding: ‘It would kick the can down the road but gives time and space for other things to happen.

‘We are all navel-gazing, spending our time worrying about the money rather than delivery and outcomes. We have to find a way of making public services financially sustainable.

‘Not everything requires more money, there are ways we can make the process more efficient.'

One speaker called for more recognition from watchdogs of financial pressures. ‘It can't be right the expectations of inspection regimes ignore the financial situation we are in,' they said.

Demand pressures

There was a consensus on the principle of reducing demand as another key to resolving the crisis. One of those present said: ‘What we really need to do is prevent people needing EHCPs [Education, Health and Care Plans] in the first place. Until we focus on that, we are not going to solve the problem.'

Another agreed: ‘Early intervention and prevention is key, if we can get in there upstream. But we need a conversation with the DfE, and the Department of Health needs to be around the table as well.'

There was also agreement not enough consideration was being given to whether a specialist placement ‘is really the best option' for the child.

A delegate said: ‘Society has lost faith in the system. All the rhetoric is around more specialist places, and parents are taking us through tribunal after tribunal.'

Another added: ‘Parents know the system and that the courts are on their side. Councils always seem to be on the back foot.'

One delegate pointed out that even through the years of austerity, ‘the principle of responding to the needs of parents and carers was still at the centre of this.'

‘Health is broken'

There was also disgruntlement with health colleagues and hopes for Integrated Care Boards (ICBs) have fallen short.

One of those present told the room: ‘Health is broken. Has the ICB system made things better? I would say no, it has made it worse.

‘All of the professional services that need to be part of support for children with special educational needs are being impacted by funding and workforce issues. We need a multi-disciplinary service but because of austerity, that isn't happening.'

Another delegate said: ‘It certainly won't be in the top five priorities for an ICB chief executive. They have more of an ability to say "that's not us", while local authorities are the backstop.

‘The local authority is seen to be the holder of that system – we have got to have the tools of a holder.'

Someone else added: ‘The levers to make things better are not in our gift.'

There was also agreement that ‘we seem to be spending more time arguing about who pays for what'

A third delegate said: ‘Local authorities can't opt out of it. Until there's joint accountability and joint budgets, we are going to spend our lives arguing. There needs to be legislative change and statutory responsibility.'

And another added: ‘At the moment, from a health perspective it's not one of their priorities.'

The health sector was not the only institution the room thought could be doing more to support SEND provision

‘There is no trust'

Participants collectively felt they lacked a voice to get across their views and help prioritise SEN against other challenges.

‘I wonder how much of a priority it is for this Government,' said one participant. ‘Politically, there's a lot at stake here.

They added: ‘The relationship between central and local government is broken and there is no trust. We don't have a champion, someone speaking for the sector. There's a point person who can speak with ministers for the NHS. We divide and conquer ourselves.'

Another delegate responded: ‘It feels like central government is going to use mayors as a voice for regions. They can't be the voice of local government because they have different roles completely. A lot of local government's issues are outside the remit of mayors.'

Schools

The education system itself was also seen as in need of attention to ease matters for SEND provision.

A delegate said: ‘What we are seeing is increased demand coupled with a lack of specialist support.

‘The overarching education system doesn't help. The funding model rewards schools through attainment.'

Another called for the ‘removal of a tendency towards exclusion'.

They added: ‘We need an approach that better resources years 6 and 7, as transition years, that is data and intelligence-driven.'

Those present also agreed the current SEND system generated heavy demand for educational psychologists.

One delegate said there was a ‘vast array of education professionals' who could take on some of the responsibilities of educational psychologists to reduce reliance on them.

‘That would remove massive amounts of pressure on the system,' they added.

‘Emma Willson thanked the assembled stakeholders for their valuable insights, particularly around improvements, which will be considered as part of NAO's report publishing 24 October.

Participants at The MJ / NAO round table

Emma Willson, director, education value for money team, National Audit Office

Kate Kennally, chief executive, Cornwall Council

Paul Simpson, chief executive, Derby City Council

Emma Bennett, chief executive, Walsall MBC

Chris Henning, executive director, Derbyshire CC

Sophie Maltby, director for SEND, early help and education, Leicester City Council

Paul Marinko, deputy editor, The MJ (chair)

Martin Ford, reporter, The MJ