Special Needs Spending to Keep Soaring Despite Labour's Reforms
Education Secretary Bridget Phillipson has conceded that spending on special educational needs and disabilities (Send) will continue to escalate over the next decade, despite government reforms aimed at bringing costs under control. This admission came as part of the long-awaited schools white paper, which also introduced several measures critics have labelled as 'class warfare'.
Reforms to EHCP System and Funding Changes
Under the new proposals, only pupils with the most severe needs – such as those with blindness – will retain entitlement to an Education, Health and Care Plan (EHCP), which provides legal rights to specialist care. All other children will receive support at school level through 'individual support plans', backed by an additional £4 billion in funding.
The Department for Education has acknowledged that costs will keep rising over the next four years, only returning to current levels by 2035 as reforms are implemented in phases. Currently, 5.3% of pupils have EHCPs, with this figure projected to rise to 7.7% by 2029/30 before gradually decreasing to 4.7% by 2034/35.
'Inclusion Plans' and Teacher Training
Schools will be legally required to provide 'inclusion plans' detailing their support for Send pupils, with Ofsted monitoring compliance. Every teacher will receive Send training, and classrooms must be designed with Send considerations in mind as part of a 'universal offer'.
Children currently in Year 3 or above will keep their EHCPs until at least age 16, while those in Year 2 or below will be reassessed upon reaching secondary school. Pupils in special schools will not have their places removed.
Admissions Reforms and Private School Funding
The white paper includes controversial measures targeting admissions practices and private special schools. Schools using banding in admissions – which divides applicants by ability – will face 'tightened rules' to ensure 'representative intakes', addressing criticism that the system favors privileged children.
Funding will be diverted from private special schools, with legal changes to cap their charges. The government claims independent special schools charge an average of £63,000 annually per child compared to £26,000 for state special schools, with around a third backed by private equity firms.
'We're going to act to reduce the big expansion that we've seen in independent specialist provision that is private equity backed,' Phillipson stated. 'We're seeing huge profits being made at the expense of vulnerable children, and we cannot continue to sustain that.'
Political and Expert Reactions
The proposals have sparked mixed reactions and potential backbench opposition. Shadow Education Secretary Laura Trott welcomed 'stronger mainstream inclusion' but expressed concerns about clarity for parents and teachers, particularly regarding EHCP security.
Zachary Marsh of Policy Exchange praised the shift from the 'cripplingly expensive, inflexible model' of Send provision, which his research suggests could cost over £18 billion annually by 2028 without reform.
Meanwhile, Julie Robinson of the Independent Schools Council defended the sector's role: 'Tens of thousands of young people with Send depend on independent special schools to meet their needs. The expertise required in so many cases of individualised care inevitably carries a cost.'
Background Context
The reforms come amid soaring Send cases that have strained council finances, with some experts suggesting conditions like ADHD and autism have been 'over-diagnosed'. Since 2014, the number of children with EHCPs has doubled, reflecting growing demand for specialist support.
Phillipson, speaking in Peterborough, framed the plans as transforming Send children 'from sidelined and excluded to seen, heard and included'. The proposals follow Labour's VAT on private school fees implemented last year, continuing what critics describe as the party's 'class warfare' agenda in education policy.
