Up to 15 new children’s homes, which aim to provide the 'right care in the right place at the right time', could be created across Lancashire.
The homes would provide a total of 40 places, including two crisis beds, for looked-after children with complex needs.
If approved this week, the new project would cost around £15.1m a year by 2027/28, compared to an agency cost of £17.4m, leading to a net saving of around £2.1m.
Dave Carr, director of policy, commissioning and children's health, said: ‘It is absolutely crucial for us to be able to offer the right care for our children in care, and secure the right home in the right place at the right time.
‘By improving their home stability, we hope to improve the outcomes for youngsters living in our children's homes.
‘We have a good track record of operating good and outstanding homes while also being part of the local community.’