A Budget Management Update published ahead of December’s Cabinet meeting shows the authority is forecasting a £3.4 million overspend this year and a £27.8 million budget shortfall for 2026/27. Most of the pressure is linked to the growing number of children placed in high-cost residential settings.
The latest data confirms that 64 children are currently in residential placements. The average weekly cost is around £7,400 per child per week, which amounts to roughly £380,000 per year per child, resulting in a forecast spend of more than £21.4 million this year.
During a recent meeting attended by Swindon24, senior councillors and officers said the issue goes far beyond local budgeting. They described a national care market that is struggling, with a shortage of foster carers, and the increasing dominance of private providers.
Cabinet Member for Finance, Councillor Kevin Small said:
“We are being financially challenged. I’ll be as diplomatic as possible. I’ll be honest and say they’re robbing us blind… some of the fees they put on, you wonder where that money’s going.”
Senior officers highlighted cases where children have been sent to Bristol, Scotland, Bolton and the south coast, with social workers travelling long distances because no suitable placements exist closer to Swindon.
When asked what difference more foster carers would make, the Director of Children’s Services told the meeting that unlike residential care, foster care typically costs under £1,000 a week. Each child who moves from residential care into a foster family therefore saves the council around £6,000 each week.
Council figures show that if a portion of the 64 children stepped down into foster families, almost £20 million could be saved annually.
A senior officer said:
“Foster care unlocks so much. It saves money. But more importantly, it’s better for the child. At the moment we are stuck. We know some of these children should not be in residential care, but without foster carers, we have no choice.”
Work is already underway to increase local provision. Financial support, training and home-adaptation assistance have been expanded for potential foster carers. The Council is also investing in new residential homes within Swindon for children who require specialist support.
The council has increased its support for foster carers, including higher weekly payments, help with home adaptations and extended assistance for young people leaving care. However, demand for placements continues to rise faster than recruitment.
The Chief Executive, Samantha Mowbray, told the meeting that Swindon is one of many councils under the same pressure, describing a national “conveyor belt” that is pushing local authorities towards financial distress.
Despite the financial strain, senior leaders pointed to recent progress, including ministerial backing for regeneration work, new youth facilities in Park North and Penhill, investment in special educational needs provision and continued business growth in the town. Councillor Small said Swindon remains a strong economic performer and continues to attract new investment.
But leaders stressed that the most immediate and powerful way to improve both outcomes for children and the council’s finances is for more residents to consider becoming foster carers.
A whole section of their website is dedicated to enquiries about fostering.
