Newham Council has approved plans to open two new children's homes, providing specialist care for up to eight young people with complex mental health needs.

The decision, made by Laura Eden, Corporate Director of Children and Young People's Services, on Tuesday 22 September 2026, will see two council-owned properties refurbished to create the new facilities. This move aims to address a critical shortage of local provision for vulnerable children.

Each of the two new four-bedroom homes will offer support for children with complex needs, including those at risk of deprivation of liberty orders, and those experiencing self-harm and mental health difficulties. Currently, 17 children from Newham who could be cared for in these proposed homes are placed out of borough due to a lack of suitable local facilities.

Therapeutic Support and Safety Measures

The new homes will be developed with a strong focus on therapeutic approaches, integrating joint health and social care support. The Council will collaborate with child mental health services to establish an Intensive Community Support Service (ICSS). This service, jointly developed with health colleagues, will provide specific mental health support and treatment to children with complex needs and challenging behaviours. The ICSS will include Child Mental Health Clinicians seconded from health and embedded within the Edge of Care Service, operating under the Newham Circles of Support Practice Model Framework. These homes will be registered with Ofsted in accordance with the Care Standards Act 2000 and the Children's Homes (England) Regulation 2015, with safety and well-being of children and the community being paramount.

Admissions and Referral Process

The homes are intended for children in care with the highest needs, including those with mental health difficulties, suicidal ideation, and self-harming behaviours. Some children may also be at risk of exploitation, either sexually or criminally, and may present with behaviours that challenge due to trauma. The Council has a duty under section 22G of the Children Act 1989 to provide sufficient accommodation for children in care within the local authority area that meets their needs.

Operational Details and Future Planning

One property, previously used as supported accommodation for 16 and 17-year-olds, will be converted into a four-bedroom children's home. The second property, formerly a day centre for older people, will also be transformed into a four-bedroom home. Both refurbishments are expected to be completed by mid-2027, with the homes anticipated to be operational by mid-2028, following Ofsted registration. The registered managers will be recruited 12 months prior to opening to ensure readiness for the Ofsted registration process. The homes will be equipped to accommodate placements requiring staffing ratios of 1:1, 2:1, and 3:1.

The project is being supported by a £1.680 million grant from the Department for Education, with the council contributing an additional £2.032 million from its existing capital allocation for children's services. Funding for ongoing operational costs will be drawn from the revenue budget through a reduction in commissioned placements, with a breakeven position anticipated by 2029/30. The financial analysis and key assumptions are detailed in Exempt Appendix 1 of the report.

Continuity of Care and Transitions

This initiative is part of the Newham Living strategy, aiming to improve the stability and continuity of care for children in the borough. The ambition is to deliver high-quality, local care that better reflects the needs of young people, supporting them to achieve long-term positive outcomes. The service will focus on short-term care with the goal of facilitating transitions to foster care, reunification with kinship networks where safe, or 'step down' to lower-level care settings. The Council will have greater control over children's care journeys and transition arrangements, ensuring smoother pathways and maintaining local connections.

Further details on the decision can be found in the Agenda frontsheet, the Public reports pack, and the Public minutes from the meeting.