The outsourcing of residential care services to private providers has ‘surged’ over the last two decades despite concerns over the quality of the services provided, a new study has found.
The majority (96%) of residential services are now outsourced, primarily to for-profit providers, according to a new Oxford University study. This represents a 20% increase since 2001.
The study, which was funded by the Nuffield Foundation, also found that more than 80% of children's homes are now run by for-profit companies, a rise of over 20% since 2010.
The researchers from the university’s Department of Social Policy and Intervention also found that public and third-sector providers ‘consistently outperform’ for-profit providers on quality.
According to the study, from 2011 to 2023 there were 816 involuntary care home closures by the Care Quality Commission and Ofsted, and 804 (98%) were for-profit care homes.
Lead author of the report, Dr Anders Bach-Mortensen, commented: ‘Our analysis reveals a paradox in England's social care: for-profit providers have grown to dominate the sector, operating over 80% of adult and children's residential care services, even though they consistently underperform public and third sector provision.’