Rotherham councillors demand action to end ‘profiteering’ in special needs education
A motion calling for an end to private profit from children with special educational needs and disabilities (SEND) will be debated by Rotherham councillors next week.
The motion, tabled by Councillor Drew Tarmey and seconded by Councillor Adam Carter, urges the government to “eradicate profiteering” by private SEND providers, amid growing concern about rising costs and financial pressures on councils.
It comes as new research commissioned by the Liberal Democrats found that private equity–backed SEND providers are making more than £100 million a year in profits, with some achieving margins of over 20%. Many of these companies are said to be backed by investors registered in tax havens or foreign sovereign wealth funds.
The motion argues that “profiteering from the needs of children with SEND is unacceptable and must end,” adding that children “are not commodities for profit.”
Councillors will note that while the government has taken steps to curb profiteering in children’s social care, including new powers to cap profits from exploitative children’s homes, there are calls for similar action within the SEND sector.
Cllr Tarmey’s motion also calls for stronger financial oversight of SEND providers, greater transparency, and new powers and funding for councils to build and manage local specialist provision directly.
The motion welcomes recent government action, including the Children’s Wellbeing and Schools Bill and £740 million in new funding for students with SEND and those needing alternative education. However, it stresses that resources must be directed into improving provision and outcomes for children, “not into shareholder dividends or inflated executive pay.”
If approved, Rotherham Council will write to the Secretary of State for Education urging national action to ensure that SEND reforms “put children first, not corporate greed.”
The motion will be discussed at the full council meeting on Tuesday, November 5.