"We recognise that such provision continues to be scanty and urge that the minister, in full knowledge of the pressing need, will pursue proper provision of therapeutic and safe places," the report states.
It also flagged up concerns that no national programme has been developed for juvenile sex offenders.
"It is unjust that older offenders have access to such programmes yet juveniles, for whom there is perhaps more hope of rehabilitation, are ignored," the report states. "To refer governors in the juvenile estate to expensive charitable organisations is no answer in these financially stringent times."
Levels of healthcare were also highlighted as being of a lesser level than available in the community.
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