Lewisham Council is set to bring a children's home back under its direct management, with plans approved to refurbish and operate a 5-6 bed property at 200 Kirkdale, Sydenham. The decision, made by the Mayor and Cabinet on Wednesday 9 September 2026, marks a significant step in the Council's commitment to providing local care for its looked-after children, reducing reliance on expensive external placements.

Councillor Rotimi Skyers, Cabinet Member for Children, SEND, Youth Empowerment and Culture, expressed pride in the proposal, stating it represents a crucial step in bringing residential care back in-house, reducing reliance on expensive external placements, and ensuring children remain connected to their communities.
The refurbishment of 200 Kirkdale will convert the former office and clinical accommodation into a purpose-designed children's home that meets Ofsted expectations for a safe, welcoming, and homely residential environment. This includes works such as the reinstatement and upgrade of domestic accommodation, creation of up to six bedrooms (with en-suite facilities where feasible), refurbishment of bathrooms, installation of a modern family-style kitchen and dining area, redecoration throughout, replacement floor finishes, improvements to communal living space, and provision for staff office and back-of-house facilities. The design approach will focus on creating a stable, nurturing, and non-institutional environment that supports children's wellbeing, privacy, and independence. Subject to detailed design, the scheme will also provide space for family visits, therapeutic support, activities, and outdoor recreation. A rear extension and the separate lower-ground level with existing access could provide additional multi-use space, emergency placement flexibility, and appropriate staff office and back-of-house provision.
Financials and Costs
The total capital requirement for the scheme is £1.68 million. This will be funded through £800,000 from a Department for Education grant, £400,000 from a capital receipt, and an additional £479,000 from the Council's capital programme. The revenue savings generated by the home are to be transferred to a reserve for ongoing capital and lifecycle costs.
Residential placements currently cost Lewisham almost £30 million a year, with many individual placements exceeding £10,000 a week. While the capital requirement for the 200 Kirkdale scheme is £1.68 million, the revenue operating model assumes annual running costs of £824,000 in Year 1 and an average of £1,951,000 per year for Years 2-10, with an annual inflationary uplift. The model projects cost savings through the substitution of high-cost external placements, with the difference between external placement costs and in-house operating costs being transferred to a reserve to support ongoing capital and lifecycle costs. However, it also notes that the actual operational costs may differ from those modelled, and further corporate financial support may be required in later years.
Local Care and Staffing
Currently, 51 Lewisham children are in residential care, with only a quarter placed within the borough. The refurbishment of 200 Kirkdale aims to provide a safe, stable, and high-quality environment for children, reducing the need for them to be placed far from their families, schools, and support networks. The in-house model will give the Council greater control over the quality of care, safeguarding, staffing, and outcomes for vulnerable children. The proposal aims to ensure children can remain closer to the people and places that matter to them most.
The mobilization programme will include workforce planning, recruitment timetable, job descriptions, rota model, training and induction plan, and safer recruitment arrangements. The staffing model will require early recruitment of a suitably experienced Registered Manager and responsible operational leadership, followed by phased recruitment of residential workers, seniors, and waking night staff. The workforce plan should include induction, supervision, training, agency contingency, safer recruitment, retention planning, and arrangements for maintaining staffing ratios during sickness, vacancy, or delayed mobilization. The proposal also highlights the value of developing a local care offer, which could support recruitment and retention by offering stable, local employment and career pathways.
Project Timeline
The project will be managed as a single integrated programme, with Ofsted registration targeted for January 2028 and the home expected to open by April 2028. The Council will retain direct responsibility for the operation of the home, ensuring children's needs are at the forefront of all decisions.