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Profit-making children’s homes offer ‘inferior service’, academics suggest

3 mins read Social Care
Profit-making children’s homes are offering "poorer quality" care and support for young people compared with those run by councils and charities, analysis of Ofsted reports finds.
Children's homes run by profit-making providers are less likely to have high Ofsted ratings, analysis shows. Picture: AdobeStock/Alex Fedorenko
Children's homes run by profit-making providers are less likely to have high Ofsted ratings, analysis shows. Picture: AdobeStock/Alex Fedorenko

The findings of a study, by the University of Oxford’s department for social policy and intervention, are based on analysis of more than 13,000 Ofsted inspections of homes between 2014 and 2021.

This finds that for-profit providers are less likely to receive an "outstanding" rating and more likely to be graded as "requires improvement" or "inadequate" by inspectors, compared with local authority and third sector run homes.

While more than a fifth of council and 17 per cent of charity-run homes achieved Ofsted’s highest rating, this proportion dips to 13 per cent among for-profit providers.

The study finds that leadership and management in more than one in 10 profit-making homes is "inadequate", compared with 7.7 per cent of those run by local authorities and 8.3 per cent in the third sector.

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