The government has announced a major overhaul of the independent special school system, aiming to rein in spiralling fees and ensure public money is spent on improving outcomes for

children with special educational needs and disabilities (SEND), not private profit.

Under the reforms, thousands more children with SEND are expected to benefit from better-value support as ministers move to end what they describe as “runaway” costs in the independent specialist sector. The changes come ahead of the upcoming Schools White Paper, which is set to outline a broader shift towards a more inclusive education system.

Independent special schools currently charge an average of £63,000 per pupil each year—more than double the £26,000 average cost of a state special school. Despite this, there is no clear evidence that pupils achieve better outcomes. More than 30 per cent of these schools are backed by private equity firms, raising concerns that money intended for children with the most complex needs is being diverted into profits.

For the first time, the government will introduce national price bands and tougher standards for independent special schools. Ministers say this will end wide regional variations in fees and stop councils paying vastly different amounts for the same provision.

The move follows a sharp rise in demand for SEND support, which has pushed local authorities to rely heavily on expensive independent placements. The new framework is designed to reset the market, focusing funding on high-quality education, meaningful progress and long-term life chances for children.

Research cited by the Department for Education suggests that many children with SEND can thrive in mainstream schools when the right support is in place. On average, pupils with education, health and care plans (EHCPs) in mainstream settings achieve around half a GCSE grade higher in English and maths than similar pupils in special schools.

Education Secretary, Bridget Phillipson said: “For too long, families have faced a postcode lottery – fighting for support that depends on where they live, not what their child needs. That ends now.

We’re cracking down on providers who put profit before children. New standards and proper oversight will ensure every independent special school placement delivers real outcomes for children – not unreasonable bills for local authorities.

This is about building a system where every child with SEND can achieve and thrive, at a school that’s right for them and delivers the life chances they deserve”.

What the reforms include

Under the plans:

- National price bands will limit unjustified fee differences for the same type of provision

- New SEND-specific standards will apply to all independent special schools

- Full cost transparency will show how public money is spent

- Councils will have a formal role in approving new or expanded independent provision

- Specialist places will be planned locally to ensure quality and financial sustainability

‘Local Government Association’ welcomed the move, warning that rising costs have placed councils under severe pressure.

Its chair, Louise Gittins, said that while independent schools can be the right choice for some children, “it is wrong that providers are charging unreasonably high prices and making significant profits from state-funded placements”.

She added that reducing reliance on independent schools will depend on stronger support for children with SEND in mainstream education.

The reforms build on existing government investment, including £3.7 billion to create 60,000 specialist places in mainstream schools and £200 million to train teachers and teaching assistants in SEND support.

Ministers say this approach reflects growing evidence that inclusion and high standards go hand in hand. For many pupils, being supported in mainstream education not only increases access to GCSEs but can also improve results—sometimes by the margin that determines whether a student passes or fails.

The forthcoming Schools White Paper is expected to expand on these changes, setting out further measures to improve oversight, strengthen inclusion and ensure SEND funding is directed where it makes the greatest difference to children and young people. Photo by Sebastiandoe5, Wikimedia commons.