North Yorkshire Council is calling for urgent, long-term funding reform as it faces a staggering 110 per cent rise in children requiring special educational support since 2016. The demand comes as the Government announced a £5 billion package to wipe out 90 per cent of the debts councils have built up while supporting children with special educational needs and disabilities (SEND).
While the council expects to receive roughly £22 million from this one-off payment, local leaders warn that without a sustainable plan in the upcoming Schools White Paper, the financial deficit will simply return. Currently, more than 6,400 pupils in North Yorkshire are supported through an Education, Health and Care Plan (EHCP), a number that continues to climb.
Cllr Gareth Dadd, the council’s deputy leader and finance chief, said: “We are committed to providing all our children with the very best start to life, and especially those who require specialist education. However, the rise in SEND provision has reached a record high and increasing costs are understandably concerning. The Government’s announcement that it will help to alleviate some of the financial pressures which all councils are facing is very welcome. But it is a one-off payment at this stage, and the issue of funding special education will simply not go away unless there is a clear plan for how this will be tackled in the future.”
He added: “It is vital that the Government’s new funding formula takes in the most up-to-date data to show where demand is currently exceeding funding. The reforms have to clearly set out how we can continue to provide the support for our children and young people who need it the most. It is critical that the Government provides the clarity and detail in the forthcoming White Paper to make sure that SEND services will be fully funded in the future and stop councils accruing further deficits.”
The situation is part of a wider financial struggle for the council, which has seen its annual budget hit by more than £40 million in Government funding reductions. To balance the 2026/27 budget, the council has had to implement a 4.99 per cent council tax increase and dip into £17 million of its reserves. Despite these pressures, the authority is investing £1.4 million annually to hire more educational psychologists to process the growing number of EHCP applications.
Cllr Janet Sanderson, executive member for children and families, added: “I have heard from residents, parents and schools that the current arrangements around SEND provision are simply not working. We need the Government’s reforms to allow a greater focus on inclusion and support for our children and families.”
The Local Government Association has echoed these concerns, noting that eight in 10 councils across England would face bankruptcy if forced to pay off their SEND-related deficits without this national intervention.
