SEND funding at risk: Why councils must act now

Ensuring every child with SEND receives the right support is a key priority for local authorities. However, rising demand, budget shortfalls, and inconsistent funding frameworks make it increasingly difficult for councils to allocate resources effectively. Now, some councils are even facing legal challenges over their handling of SEND funding.

A fair, evidence-based approach is essential to ensure sustainable and transparent funding decisions that meet legal obligations and provide the best outcomes for children.

The risks of inaction: Devon’s judicial review

The recent High Court case against a South West County Council is a wake-up call for local authorities. Parents have launched a legal challenge, arguing that the council cut SEND services without consultation or transparency.

Despite securing a £95m government bailout, the council continues to overspend by millions. With EHCP demand doubling in six years, funding pressures will only escalate.

This case highlights a critical issue: councils relying on reactive, unsustainable funding models face financial collapse, legal risks, and eroding trust from families and schools. Without transparent, data-driven decisions, councils cannot meet their legal or financial responsibilities.

The challenges of SEND funding allocation

Many councils still rely on time-consuming, manual funding decisions that often involve lengthy negotiations with schools. Without a standardised, data-driven approach, funding becomes inconsistent, leading to:

• EHC Plan disparities, with some areas experiencing delays and inconsistencies.

• High administrative burden, diverting resources from frontline services.

• Severe budget pressures, with SEND funding gaps projected to reach £3.9bn by 2027-28.

• Lack of transparency, increasing disputes and appeals from families and schools.

To address these challenges, councils need robust, scalable funding models that align resources with the real needs of young people.

How data-driven insights support fair and sustainable SEND funding

A data-driven approach ensures fair, transparent, and financially sustainable SEND funding. Councils using Formulate, Imosphere’s SEND funding tool, benefit from:

• More equitable funding allocation, ensuring children with similar needs receive comparable support.

• Higher-quality EHC Plans, based on clear, standardised assessments.

• Faster, more consistent decision-making, reducing school negotiations.

• Better financial control, helping councils avoid deficits and overspending.

EHCP efficiency: Reducing delays and costs

Meeting the 20-week EHCP deadline is a major challenge, with delays impacting children, families, and schools. Councils using Formulate are 25% more likely to meet this deadline, ensuring faster support for children while improving compliance and reducing administrative strain.

Local authorities spend over £106,000 in five years on EHCP decision-making panels. Formulate reduces panel frequency and duration, saving councils over £98,000 per council in five years – freeing up resources for frontline services and school support.

With Formulate helping councils save 70% less administrative time on funding decisions, councils can focus on delivering better educational outcomes, not just managing budgets.

Moving towards a future-proof SEND funding model

With rising legal and financial risks, a reactive approach is no longer sustainable. Councils must:

• Standardise and streamline assessments to ensure funding reflects actual needs.

• Forecast and monitor budgets effectively to prevent overspending.

• Ensure transparent, data-driven decision-making to reduce disputes and build trust.

The alternative? More legal challenges, deeper financial deficits, and reduced SEND support for children who need it most.

Unlocking a smarter approach to SEND funding

Formulate from Imosphere is already helping forward-thinking councils take control of SEND funding before they reach crisis point. By replacing manual processes with standardised, evidence-backed assessments, councils can improve EHC Plan speed and quality, enhance transparency, and reduce administrative burden.

With budget forecasting and benchmarking tools, councils using Formulate are reducing administrative workloads, cutting funding disputes, and protecting critical SEND services.

Formulate’s evidence-based approach ensures funding is allocated fairly, consistently, and in line with actual need – eliminating inefficiencies while securing long-term financial sustainability.

By adopting a smarter, data-led approach, councils can deliver better outcomes for young people while ensuring financial sustainability.

Act now to secure the future of SEND funding

As legal and financial pressures intensify, councils cannot afford to wait. A data-led approach ensures faster support for children, improved compliance, and a more sustainable SEND system.

Future-proof your SEND funding today – before the next crisis hits.