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A Phased Transition: Key Milestones
The Welsh Government has set out a clear timetable for change:
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From April 2026 – No new for-profit providers of children’s homes, fostering, or secure accommodation can register in Wales.
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From April 2027 – Existing for-profit providers will not be permitted to expand their services.
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From April 2030 – Local authorities will no longer be able to place children in for-profit provision, except in rare, exceptional cases where no suitable not-for-profit option exists.
While the ethical intention is widely welcomed, the scale of the challenge is significant. At present, 87% of children’s home placements and around 35% of foster care placements in Wales are delivered by private, for-profit providers
Shifting this balance within the next five years requires ambitious planning and new capacity at pace.
The Opportunity and the Challenge for Local Authorities
Local authorities are now at the centre of this reform. Councils across Wales are already stepping up by:
- Opening or expanding council-run care homes (e.g. Bridgend County Borough Council and Merthyr Tydfil Council).
- Partnering with charities, community interest companies, and other not-for-profit providers.
- Working regionally with neighbouring authorities and Health Boards to plan services and pool resources.
To support this transition, the Welsh Government has allocated £68 million (2023–2026) for the creation and expansion of local authority provision. However, funding is just one part of the equation. Councils will need to tackle:
- Workforce pressures – recruiting, training, and retaining skilled staff.
- Service continuity – ensuring children are not disrupted as provision shifts.
- Financial sustainability – managing high start-up and operating costs of new services.
- Operational complexity – running children’s homes directly requires robust systems for compliance, case management, and safeguarding.
The Role of Digital Transformation
For many local authorities, providing children’s residential and foster care directly will be an entirely new responsibility. Delivering these services effectively requires not only bricks and mortar, but also the right digital infrastructure.
Technology has a pivotal role to play in:
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Case management – the only online digital system providing adult and children's social care case management and finance in one platform
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Care Management – Ensuring each child’s journey is recorded, monitored, and aligned with statutory requirements.
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Digital Care Planning – Enabling consistency, transparency, and improved outcomes across placements.
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Workforce Management and Collaborative Data Sharing – Optimising staff scheduling, rostering, and HR processes to address workforce shortages, while enabling secure data sharing and integration with Health Boards, regulators, and not-for-profit partners for seamless collaboration across the care ecosystem.
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Business Intelligence – Turning data into actionable insights to inform planning, manage resources, and evidence outcomes.
Without these systems in place, councils risk being overstretched, and the reform could falter. With them, they can build a sustainable model that prioritises children’s wellbeing above all else.
How The Access Group Can Help
At The Access Group, we understand the scale and urgency of the challenge facing Welsh local authorities. With extensive experience working across social care and local government, we provide specialist digital solutions that help councils deliver high-quality, efficient, and compliant services.
Here’s how we can support councils as they take on new responsibilities in children’s care:
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Access Care Management Software (Access Mosaic): Streamline case management, maintain compliance, and improve visibility across children’s services.
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Access Care Planning Tools (Access Mosaic): Ensure personalised, consistent, and transparent care planning for every child.
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Access Workforce Management (Access Adam) : Simplify rostering, scheduling, and HR processes, enabling councils to make the most of their staffing resources.
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Access Data & Analytics (Elemental): Provide powerful insights to support strategic planning, monitor performance, and evidence the impact of services.
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Integration & Interoperability (Elemental): Connect social care systems seamlessly with health, education, and third-sector partners.
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Transportation management system (Adam Transport) – these transport operations are made through intelligent route planning, real-time tracking, and contractor management. The system optimises routes to reduce costs while ensuring safe, reliable services for vulnerable children and young people. Built-in safeguarding features and reporting capabilities help councils maintain compliance and evidence efficient use of transport budgets.
Our solutions are already helping local authorities across the UK to modernise service delivery, reduce administrative burdens, and improve outcomes. For Welsh councils, this means focusing less on paperwork and processes, and more on what really matters: creating safe, supportive, and nurturing environments for children.
Looking Ahead
The removal of profit from children’s care in Wales represents a bold and ethical step forward. It is not without its challenges, but it offers a once-in-a-generation opportunity to reshape services around the needs of children and young people.
For local authorities, the task ahead is complex but achievable – with the right planning, investment, and digital tools. At The Access Group, we are committed to helping councils build the foundations of a sustainable, not-for-profit care system that will serve children well for years to come.
