Council accountants are warning urgent action is needed to avoid bankruptcy as the cost of providing special needs education spirals. Bristol City Council spent millions of pounds over budget on special needs education, and is now working to bring this down despite rising demand.
In the last financial year the council spent £94.6 million on the high needs block, £16 million more than was initially budgeted. Added to overspends on previous years, the council now has a total deficit of £42.5 million for special needs education, and just three years to reduce this.
Normally councils are not legally allowed to keep spending more than they have budgeted for, and must balance their books. But parliament has given special permission for councils to run deficits in their schools budget — but only until March 2026.