Essex County Council says it is currently forecasting a £165 million funding shortfall to support pupils with high levels of need in special educational needs and disabilities (SEND).
The warning of the council’s High Needs Block predicted shortfall comes as it prepares to agree to the drawdown of £1.5m to continue tackling the pressures from special needs assessment applications.
The county council is battling to improve its service, which is the worst in the country, with just 1 per cent of assessments completed within the 20-week target. While the original backlog of 1,300 cases has been successfully cleared, demand for assessments remains high.
These pressures are also reflected in the council’s latest budget proposals, including the high needs block funding, which will be considered at the next Full Council meeting.
The High Needs Block is part of the funding that local councils receive to support children and young people with Special Educational Needs and Disabilities
The proposals acknowledge the growing financial strain on SEND services, both locally and nationally. Essex is currently forecasting a £165 million shortfall in the high needs block at the end of the 2027/28 financial year. It has prompted the council to appeal to the Government for a national response to SEND.
Cabinet member for education, Councillor Tony Ball, said: “In my letter, I highlighted the improvements we have made, the investments we continue to prioritise and the dedication of our teams. I also set out the reality that councils cannot continue to sustain this without a clear, long‑term national funding settlement.
“I have asked the Secretary of State to provide clarity on future SEND funding, to recognise the pressures facing local authorities and to ensure that the forthcoming White Paper delivers the stability and direction families deserve. I also emphasised our willingness to work closely with the Government to shape a system that is fair, sustainable and focused on improving outcomes for children and young people.”
According to the LGA, eight in 10 councils warn they will become insolvent over mounting deficits due to the cost of supporting children and young people with special educational needs and disabilities.
Councillor Amanda Hopgood, chair of the Local Government Association’s Children, Young People and Families Committee, said: “There is a widely held consensus that the SEND system is broken and not working for children, their families and councils.
“Councils are committed to supporting every child and young person to achieve their potential, and clearly, what is important is that children and young people get the support they need. But under the current system, the rise in support need has left many councils buckling under the strain. The huge costs of providing support are threatening most councils with insolvency.
“This is why we are urging Government to write off councils’ high needs deficits in the final Local Government Finance Settlement. However, it is important to note that the challenges within the SEND system are not just financial. The Schools White Paper must deliver brave and bold reform where more children are able to get the support they need in a mainstream school, without having to go down the route of needing a statutory plan.”
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