Children's services spending reports
Children's social care services provide vital support and care to hundreds of thousands of children and families each year.
But these services, and the councils that fund and provide them, are increasingly under strain.
Our series of Children's services spending reports, produced by Pro Bono Economics for the Children’s Charities Coalition, show a concerning picture.
As spending on early intervention and preventative support has decreased, spending on late intervention services – when families have already reached crisis point – has risen to record levels.
Key findings from the latest 2025 report
As a member of the Children's Charities Coalition (alongside Action for Children, Barnardo's, NCB and The Children's Society) our latest report, A long road to recovery, found that in 2024:
- in England council spending on early intervention services fell by more than £2billion since 2010/11, an overall drop of 42%
- funding for children in residential care rose to an all-time high of £3billion
- the most deprived parts of the country were the hardest hit by cuts, with spending per child falling by more than 50% compared to less than 30% in the least deprived areas
- as many as 1,000 children’s centres and 750 youth centres across England have closed since 2010/11
- more than 160,000 children were living in temporary accommodation in 2024, an all-time high and more than double (139%) the number in 2011
- despite a slight fall in 2024, the number of children in care remains almost 40% higher (more than 83,000) than it was 20 years ago.
Recommendations for Government
The Children's Charities Coalition uses the findings from the children's services spending reports to make recommendations for Government to help improve the lives of babies, children, young people and their families. To see the recommendations please read the report below.
Download the latest report (PDF)
Citation
Please cite as: Larkham, J. and Ren, A. (2025) A long road to recovery: local authority spending on early intervention children’s services 2010/11 to 2023/24. [London]: Pro Bono Economics.
Previous reports
Key findings from the 2024 report
The 2024 report Struggling against the tide: children’s services spending 2011–2023, found:
- in 2022/23 local authorities in England spent:
- 9.9 billion on late intervention, £2.4 billion of which was spent on residential placements for children in care
- 2.2 billion on all early intervention services that support families and help prevent children entering care
- there has been a drop of almost half (44%) in spending on early intervention services by councils, such as children’s centres and family hubs
- early intervention now accounts for only 18% of total spending on children’s services, compared to 36% in 2010/11
- the spending on late intervention services when families reach crisis point has reached record levels – increasing by £3.6 billion in 12 years. That’s a 57% increase which is mostly due to increases in spending on residential placements for children in care
- for the first time, spending on residential care alone is now greater than the total amount spent on all early intervention services combined (£2.4 billion vs £2.2 billion)
- the number of children in residential care has more than doubled since 2011, with spending on these placements increasing by £1.1 billion. Almost half of this increase has occurred in the last two years.
> Download Struggling against the tide: children’s services spending 2011–2023
The well-worn path: children's services spending 2010–11 to 2021–22
In 2021/22 local government spending on children’s services increased by £800million, and:
- £4 in every £5 of that increased spending went on late intervention services
- spending on early intervention services decreased by 46% compare to 2010–11
- in the previous 12 years, the number of children in residential care increased by 79% and spending rose by 61%.
> Download the well-worn path: children's services spending 2010–11 to 2021–22 (PDF)
Stopping the spiral: children and young people's services spending 2010–11 to 2020–21
The 2022 report found:
- spending by local authorities on early intervention services for children and young people fell by £1.9 billion between 2010–11 and 2020–21
- by 2020–21, 80% of all local authority spending on children and young people went on late intervention services, up from 58% in 2010–11
- the pressure on late intervention services increased costs, meaning real costs of care increased by 11% per child between 2012 and 2020
- between 2010–11 and 2020–21, total spending on children and young people’s services fell by £241 million in the most deprived fifth of local authorities, while it rose by £228 million in the least deprived local authorities.
Children and young people's services: spending 2010–11 to 2019–20
Between 2010–11 and 2019–20:
- there was a £325 million drop in annual spending on children’s services
- spending on children's services in the most deprived areas fell by 14% per young person
- there was a 48% decrease in spending on early intervention services
- the annual cost of supporting a looked after child increased by more than 20% to £64,000 as a result of growing demands on the care system.
> Download Children and young people's services: spending 2010–11 to 2019–20 (PDF)
About Pro Bono Economics
Pro Bono Economics uses economics to empower the social sector and to increase wellbeing across the UK. It combines project work for individual charities and social enterprises with policy research that can drive systemic change. Working with 400 volunteer economists, Pro Bono Economics have supported over 500 charities since its inception in 2009.
About the Children’s Charities Coalition
The Children’s Charities Coalition is made up of Action for Children, Barnardo’s, National Children’s Bureau, NSPCC and The Children’s Society.
Together, we work to ensure that ambitious and long-term investment is made in services and support for vulnerable children and young people across England to improve their lives and those of future generations.
