The Government has been urged to ensure that long-awaited special education reforms lead to services being fully funded amid a major rise in the need for support of children and young people in North Yorkshire.
The Department for Education has announced £5 billion in funding will be used to pay off 90 per cent of the debts built up by councils in England through supporting children and young people with special educational needs and disabilities (SEND) to the end of the financial year.
It is estimated that North Yorkshire Council will receive about £22 million, although the exact figure for this one-off payment has yet to be confirmed. Ministers are due to set out detailed plans for reforms of SEND in the Schools White Paper which is expected to be unveiled in the coming weeks.
Latest data has shown that the number of children and young people identified with SEND and education, health and care plans (EHCPs) in North Yorkshire has increased by more than 110 per cent since 2016. The number continues to rise, with more than 6,400 pupils now supported through an EHCP.
North Yorkshire Council’s deputy leader, Cllr Gareth Dadd, whose responsibilities include finance, said:
We are committed to providing all our children with the very best start to life, and especially those who require specialist education.
However, the rise in SEND provision has reached a record high and increasing costs are understandably concerning.
The Government’s announcement that it will help to alleviate some of the financial pressures which all councils are facing is very welcome. But it is a one-off payment at this stage, and the issue of funding special education will simply not go away unless there is a clear plan for how this will be tackled in the future.
It is vital that the Government’s new funding formula takes in the most up-to-date data to show where demand is currently exceeding funding.
The reforms have to clearly set out how we can continue to provide the support for our children and young people who need it the most.
It is critical that the Government provides the clarity and detail in the forthcoming White Paper to make sure that SEND services will be fully funded in the future and stop councils accruing further deficits.
The Local Government Association has warned that eight in 10 councils in England would face bankruptcy if they had to honour the financial deficits linked to SEND provision built up in recent years.
The LGA, which represents councils in England, has welcomed the Government’s plans and said the additional funding “removes the immediate threat of insolvency for many councils”.
However, despite the announcement for SEND funding, North Yorkshire Council is still facing significant pressures on its budget.The Government has conducted a nationwide review of funding for councils with deprivation a key factor on where money is targeted across the country.
North Yorkshire Council’s finances have been hit by a reduction of more than £40 million each year through the Government’s decisions. Even after savings and a 4.99 per cent council tax increase, the decision has had to be taken to use £17 million in reserves to balance the budget for 2026/27.
The council’s executive member for children and families, Cllr Janet Sanderson, said:
I have heard from residents, parents and schools that the current arrangements around SEND provision are simply not working.
We need the Government’s reforms to allow a greater focus on inclusion and support for our children and families.
Despite the financial pressures, the council has committed millions of pounds to help to provide support for children and young people in the county.
The budget for the next financial year from April includes record increases in funding for the council’s children and young people’s services, especially for children who are in care. Numbers of children in care and associated costs have both risen rapidly and a further £15 million in additional funding is included in the budget for 2026/27 to meet demand.
A further £1.4 million annually will increase the capacity of educational psychologists to cope with the growing number of EHCPs. The additional funding will curb a reliance on agency workers and build the capacity within the council.
