Special educational needs services in England are heading towards 'total collapse', with councils warning that 59 upper-tier authorities could face effective bankruptcy by March 2028 unless urgent structural reforms are implemented. The County Councils Network (CCN) report reveals that councils are on course to accumulate debts of £18bn by the end of the decade due to soaring demand for support.
The number of Education, Health and Care Plans (EHCPs) issued has risen to a record 638,000 in 2024-25, with forecasts predicting 840,000 by 2028-29—equivalent to one in 20 children and young people. This surge, driven by conditions such as autism and speech difficulties, has forced councils to rely on expensive private specialist schools, costing an average of £72,000 per place annually compared to £10,000 in mainstream schools.
CCN chair Matthew Hicks stated: 'The system is heading towards total collapse in little over four years. This could mean families facing even longer waits for support, councils facing a level of demand that the system was never designed for, and local authorities staring down unimaginable deficits of almost £18bn.' The report calls on ministers to write off accumulated Send debts and reform appeal tribunals to reduce access to specialist support, changes likely to face fierce opposition from parents.
The Department for Education acknowledged it had 'inherited a Send system on its knees' and pledged to improve mainstream inclusion. However, a pivotal date looms in March 2028 when an accounting override allowing councils to keep Send debts off balance sheets ends, potentially rendering many authorities insolvent. Lorna Baxter, president of the Association of Local Authority Treasurers, warned: 'Without prompt government intervention, we risk an unprecedented local authority financial crisis.'
