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Monday 3 August 2015

Children`s homes are becoming less profitable

"Two thirds of children’s homes providers are worried for their future despite a rise in referrals, it has been claimed. Ten per cent of children's home providers say they cannot see a future in the sector. An annual survey commissioned by the Independent Children's Home Association (ICHA) found that 45 per cent of providers were "worried about their future in residential care".In addition to this, 10 per cent said they "cannot see a future in residential care".

"The survey, based on responses from 79 providers, found that concerns are present despite the number of referrals to children's homes increasing. A total of 61 per cent of providers reported an increase in referrals compared with just 13 per cent reporting a decrease. Providers also reported anecdotally that the complexity of need or degree of difficulty of children being referred is also increasing, but often a lower fee rate is requested by cash-strapped local authorities. The situation appears to have had an impact on profitability for homes, with 42 per cent reporting a drop in profit compared with a year ago, with 27 per cent saying it stayed the same and 31 per cent reporting an increase. "

- See more at: http://www.cypnow.co.uk/cyp/news/1152886/childrens-home-providers-express-fears-for-the-future#sthash.Uwc81VGF.dpuf

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