South Devon MP slams 'money-making' levels of private SEND providers

The Liberal Democrat MP for South Devon, Caroline Voaden, has called for a cap to be introduced on the profits of private providers of special educational needs and disabilities (SEND) services.

It follows concerns raised nationally about the rising costs of private SEND provision and its impact on local authority budgets.

Research from the House of Commons Library, commissioned by the Liberal Democrats, found that some of the largest private companies delivering SEND education are reporting profit margins in excess of 20% — at the same time as local authorities struggle to meet demand.

In addition, recent figures show that home-to-school transport for SEND pupils cost councils across the UK £1.42 billion between 2023 and 2024.

With many councils warning of increasing financial strain, Ms Voaden has joined her party’s call for an 8% cap on profits made by private SEND providers.

“SEND provision is a desperate issue for hundreds of parents across South Devon, and I find this level of profit from private equity firms deeply disturbing,” said Ms Voaden.

“It is contributing to a broken system, and it has to stop.

“The Government needs to introduce a profit cap to make sure money is going back into supporting young people with SEND, not into shareholder dividends. It's time to put provision before profits — our children deserve better.”

Ms Voaden, who is a member of the Education Select Committee, said the committee’s ongoing work exploring SEND provision had shown her “without doubt” that reform is needed.

She also welcomed recent steps by Devon County Council, where the Liberal Democrats lead the administration, to explore the use of not-for-profit providers for children’s care placements — a move she hopes could be expanded into education.

“This is a positive direction that I hope will help reduce costs and improve outcomes for some of Devon’s most vulnerable young people,” she added.