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Council to Consider Option to Bring Children’s Services Back In-House

  • Recommendation made to bring Children's Services in Reading back in-house to be managed and delivered by the Council
  • BFfC's seven-year contract ends in March 2026 and the Council appointed an independent body to review future options for delivery
  • A final decision will be made at a Full Council meeting in late-January 

A recommendation to bring the operation of Children’s Services in Reading back in-house to be delivered by the Council will be considered at a Policy Committee meeting next week.

Brighter Futures for Children (BFfC) has delivered Children’s Services - which includes responsibility for children’s social care and education - on behalf of Reading Borough Council since 2018. With BFfC’s seven-year contract coming to an end in March 2026, the Council appointed an independent body, the Chartered Institute of Public Finance and Accountancy (CIPFA), to undertake a detailed review of options.

Following a review of four possible options and CIPFA's recommendations, a report will be presented to a meeting of the Council’s Policy Committee on Wednesday 18 December to consider bringing Children’s Services back in-house so that it is managed and delivered by the Council. https://democracy.reading.gov.uk/documents/s33784/BFfC%20contract%20review.pdf

The recommendation for the Council to operate its own Children’s Services is made on the basis it:

  • Provides the Council with better direct control of Children’s Services
  • Removes a layer of governance, likely leading to more agile decision making and removing duplication of reporting
  • Removes the pressure on Council services of maintaining service level agreements
  • Improves integration and synergy with other Council services

A final decision is set to be made at a meeting of the Council on Tuesday 28 January. 

Under the terms of the contract, the Council must inform BFfC of its decision by March 2025 and give one year’s notice of termination. If the recommendation is agreed, staff currently working at BFfC would be transferred over to the Council under a TUPE arrangement.

In the report, the significant progress made by BFfC over the last six years is acknowledged, whilst recognising that further progress is required. It is therefore recommended that an independently chaired Improvement Board is set up to provide scrutiny of and support to the delivery of service improvement across Reading’s Children’s Services.

Councillor Liz Terry, Leader of Reading Borough Council, said:

“There is no question that BFfC has made progress towards the overarching ambition set for the company back in 2018, but it is also true to say there remains much work to be done.

 “With BFfC’s initial contract now drawing to an end, and in the context of the enormous challenges faced by children’s services nationwide, this was the right time for an independent body to carry out a detailed review and look at possible options for future delivery. The recommendation to bring the service back under Council control will now be considered by Councillors next week, before a final decision is made in January on the best way forward.

 “I want to place on record my enormous gratitude to BFfC staff, whose commitment and dedication to children in Reading is without question. We are committed to ensuring those same children and young people are not affected as we go through this process.

“Our overall ambition remains to further improve the quality and stability of Children’s Services in Reading, and to ensure the best possible outcomes for our children and young people.”

Di Smith, Chair of BFfC, and on behalf of the BFfC Board, said:

 “The Board of Brighter Futures for Children supports the proposal to return full responsibility for the delivery of Children’s Services to the Council. We recognise that alternative delivery models in children’s services have become less popular in recent years and are now very rarely the preferred option in response to statutory intervention.

“Given the national picture of increased costs and pressures in children’s services, it is logical that councils, including Reading Council, would want to have full control of delivery and expenditure at this present moment in time.”

Notes to editors

The options considered were:

Option 1 - BFfC delivery: Renew the contract with BFfC, continuing delivery by BFfC as a local authority-controlled company, with a review of governance arrangements

Option 2: In-house delivery: Do not renew the contract with BFfC and bring delivery back in-house to be managed by the Council, supported by an Improvement Board.

Option 3 Re-procurement: Re-tender the contract so that it is delivered by a third party.

Option 4 Hybrid: Partly in-source the Service to the Council and partly outsource to BFfC or another third party.