Staffordshire County Council could have 90 per cent of a massive overspend on services for children with special educational needs and disabilities paid off by the Government if its plans to improve provision are approved.

The move would clear £90m of debt for the council – but still leave a £10m overspend in the Dedicated Schools Grant caused by demand outstripping funding in the past decade.

The Government has put in place a "statutory override", meaning this deficit remains separate to the council's other reserves for the time being.

But funding for services for children and young people with special educational needs and disabilities (SEND) has been an ongoing concern for the county council in recent years – and previous authority leader Alan White said in 2024 that the county did not receive enough funding from Government towards the support it provides for more than 7,000 Staffordshire children with an Education, Health and Care Plan (EHCP).

In February the Government published a consultation for SEND reform and a white paper – Every child achieving and thriving (ECAT). Each local area partnership was required to co-produce a high-level strategic SEND reform plan and submit it to the Department for Education and NHS England by June 19.

Staffordshire County Council, parent and carer representatives, Staffordshire and Stoke-on-Trent Integrated Care Board, early years providers, multi-academy trusts and further education providers have been involved in drawing up a three-year plan to improve SEND provision in the area and it has been submitted to the Government.

At the latest county council cabinet meeting, members were asked to support the strategy set out in Every child achieving and thriving and the associated SEND Reform programme and endorse Staffordshire's proposed approach.

Staffordshire's plan has a focus on earlier support and a more consistent standard of services across the county. The Government's aim is for more children and young people with SEND to be able to attend an education setting close to home, rather than travelling long distances from their family and community.

Plans already in place in Staffordshire include a new special school for SEMH (social, emotional and mental health) and autism for 220 children, a new primary pupil referral unit, investing in more support in mainstream schools so young people get the help they need, five projects to increase capacity within special schools by 135 places and a parent forum in each part of the county.

A report to the cabinet said: "The government will address long standing SEND financial pressures by covering 90% of local authorities' High Needs-related DSG deficits accrued up to the end of 2025–26 through the High Needs Stability Grant (HNSG). For Staffordshire this is circa £90m.

"This grant will be paid subject to Staffordshire securing the Secretary of State for Education's approval of our Local SEND Reform Plan and the delivery of the plan."

Councillor Janet Higgins, cabinet member for education and SEND, said: "Supporting children and young people with special educational needs and disabilities is a core priority for the county council. We want every child to achieve and thrive, with the right support in place at the earliest opportunity.

"We welcome the ambition to strengthen inclusion, improve early identification and to ensure more children can be supported effectively in mainstream education.

"Our local plan builds on this – it has been co-produced with partners and focuses on early help, stronger inclusive practice and increasing local provision so that children and families can access support closer to home.

"Key to this is our experts at hand offer, which will provide timely specialist support in mainstream settings. However, while we support the direction of travel, we must be clear that these reforms can only succeed if they are properly funded.

"Staffordshire remains one of the lowest funded authorities for education and SEND. At a time of rising need and increasing pressures on schools, the current funding position presents a significant challenge – without sustainable national funding, it will be difficult to deliver the full ambition of these reforms.

"That is something as a council we need to ensure we keep doing. We need to keep reminding Government that Staffordshire is one of the lowest-funded counties in the country and that is what I will be doing as cabinet member – I will be lobbying Government to look at this and address this unfairness.

"But despite this, we are continuing to invest in local provision and we work with partners to improve outcomes for children and families. I am therefore asking cabinet to support the strategic approach set out in this report, approve submission of the SEND reform plan and agree necessary arrangements to take this forward."