A briefing put together by charity The Howard League for Penal Reform looking into factors that can contribute to the criminalisation of children in residential care highlights the fact that private companies own almost three quarters of the children's homes in England.
It said that demand for places is currently outstripping supply and, with the number of local authority-run homes continuing to fall, private companies are gaining a greater share of the market.?
At the end of August last year, 43 private companies ran 41 per cent of all children's homes in England, with the five largest companies accounting for about 17 per cent of all homes.??
However, only 14 per cent of privately-owned homes were judged to be "outstanding" overall by Ofsted in 2016/17, compared with 25 per cent of homes run by local authorities and 19 per cent of homes run by voluntary organisations.
"Local authorities, as corporate parents, are legally required to ensure that the homes they are placing children in are complying with their obligations, even if those homes are hundreds of miles away," the report states.
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