Stop the SEND Profit Machine: Lib Dems Demand Cap to Protect Vulnerable Children

The Liberal Democrats are taking a stand against what they term ”shameless profiteering” by private educational providers for special educational needs and disabilities (SEND) schooling. They are advocating for a profit cap of 8%, aiming to ensure that funds intended for SEND children do not end up in the hands of shareholders. This call comes after research commissioned by the party revealed that some companies are earning excessive profits, with margins as high as 20% and individual firms making over £44 million annually. Education spokesperson Munira Wilson highlighted that these profits are generated off the backs of children with disabilities, particularly at a time when local councils are financially strained. Wilson described the situation as an ”absolute scandal”, accusing firms backed by private equity of exploiting the current shortage in SEND educational provision.

The proposed measure would see firms that exceed the 8% profit margin facing potential sanctions, such as having to return excess profits to local authorities. The Lib Dems argue that this cap will not hinder competition or access to school places, but will be coupled with initiatives to expand state-run specialist provisions. This includes support for local councils to construct their own schools and the rollout of 66 new special free schools currently in development.

The government has acknowledged the longstanding issues within the SEND system and is planning a reform, with details to be announced in an upcoming Schools White Paper. A spokesperson for the Department for Education emphasized that the focus should be on enhancing children’s outcomes rather than profit maximization, and noted the recent £740 million funding dedicated to providing additional support for SEND pupils. As discussions unfold, the Lib Dems remain vigilant, determined to protect the interests of vulnerable children and ensure they receive the quality education they deserve.