Editor, Solicitors Journal

FOSTERING ALARM BELLS

8 Jan 2019News

Private equity funds buying up small fostering agencies is causing increased alarm for local councils. According to the BBC, the Local Government Association (LGA) said the practice has 'set off alarm bells' in the foster care system in England and councils are concerned about the consequences if a group failed, for example, a potential shortfall in fostering provisions. The LGA found three groups account for nearly half of the funds council spend on independent fostering. LGA deputy chair David Simmonds told the BBC: 'A number of companies have gone out of business in the social care sector, care home providers principally '“ because they've gone down this path of consolidation and everincreasing profit and it's led to trouble.' 28 August 2019

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