Merthyr Tydfil Council is facing a “significant challenge” in its effort to transition to a not-for-profit child care system, as outlined in a recent report to its social services committee. This move aligns with the Welsh Government’s commitment to eliminating private profit from the care of looked-after children in the next Senedd term.
Current Placement Statistics and Challenges
The council currently places 38 out of 182 looked-after children with independent fostering agencies, accounting for around 20% of its placements. Additionally, 14 young people are in out-of-authority residential placements. This reliance on external agencies poses challenges for a full shift to in-house or not-for-profit care, as meeting each child’s specific needs requires considerable planning and resources.
Development Needs
Efforts to expand internal care provision are underway, but the report highlights that “internal residential care is not a cheaper option.” Although Merthyr Tydfil has a newly registered two-bedroom children’s home, there is a need for more local facilities and foster carers. The council estimates a gap of approximately 35 placements within its own foster care services, and external placements may continue to be necessary for certain cases.
Foster Carer Recruitment Efforts
To close this gap, Foster Wales Merthyr Tydfil is actively recruiting, yet there are not enough available carers to meet the demand. Recruitment efforts include advertising locally and supporting current foster carers to prevent placement breakdowns. The council also promotes Special Guardianship Orders (SGOs) for children in stable foster placements.
Funding and Future Projects
The council has received grant funding to build its not-for-profit provisions, but it remains uncertain if this funding will continue beyond 2025. Current projects include the development of a two-bedroom children’s home and plans to turn Thomas Town House into accommodation for disabled children. The council is also implementing individual plans to gradually transition children from “for-profit” placements to not-for-profit ones, aiming to meet the 2026/27 target.
Next Steps
With a decrease in looked-after children from 198 in April 2024, the council’s children’s services face heightened complexity and risk management pressures. Officers are now working on a roadmap to achieve the not-for-profit target, while continuing to develop resources and support networks for foster carers.
The report acknowledges that despite proactive measures, external placements may still be required, highlighting the challenge of balancing child welfare needs and policy goals within resource constraints.
