The Labour government is poised to unveil its most significant reforms to England’s special educational needs system in a decade, amid warnings from its own backbenchers and deep anxiety from parents that vital support for vulnerable children could be put at risk. Education Secretary Bridget Phillipson will announce a sweeping package of changes on Monday aimed at ending a crisis of unsustainable costs and inconsistent provision, but the plans hinge on averting a rebellion over proposals to restrict access to legally-binding support plans.
At the heart of the overhaul is a fundamental shift in financial control. Mainstream schools will be given their own commissioning budgets to spend directly on therapists and additional support for pupils with special needs, moving the money away from the highly indebted local authorities that currently hold the purse strings. The government has committed an additional £2 billion over four years to improve SEND services, with Treasury insiders reportedly being more generous than expected in a bid to secure political support.
A new landscape of support and a higher bar for legal plans
The reforms will create a two-tier system of support designed to increase inclusion in mainstream schools. For the vast majority of children, support will become “ordinarily available” within their school. Pupils with conditions such as autism, ADHD or mental health issues will be covered by a new legal duty on schools to make “reasonable adjustments”, with failure to do so opening the door to potential legal action by families.
Children not requiring the highest level of support will be eligible for new Individual Support Plans (ISPs), which the government says will offer enhanced legal rights and assurances. However, the most consequential change surrounds Education, Health and Care Plans. The government proposes to significantly narrow access to EHCPs, reserving them only for children with the most severe and complex needs by raising the qualification bar.
This has sparked intense concern. More than 480,000 children in England currently have an EHCP, a number that has more than doubled since 2016. Under the new system, children moving from primary to secondary school after 2030 will have their needs tested against the tougher criteria. Reports have concentrated on fears that existing EHCPs could be curtailed or removed at this transition point, a prospect that has left many families fearful. A recent survey found 45% of parents were worried their child’s support would be taken away.
Ministers insist the reforms are not about cutting support but fixing a broken system. Bridget Phillipson stated the aim is to ensure “every child with SEND can achieve and thrive, at a school that’s right for them.” A Department for Education spokesperson said the goal is to “transform life chances for children with additional needs” and “deliver support earlier, restore financial sustainability, and end the postcode lottery.” Officials point out that the first-tier equalities tribunal will remain available for EHCP appeals, though its role will be “refocused”.
The financial imperative for change is stark. The SEND system is buckling under spiralling costs, with local authorities’ high-needs deficits projected to hit £6 billion nationally by March 2025. Overall spending has risen by two-thirds in a decade to over £11 billion a year, yet funding has not kept pace with the surge in pupils with EHCPs, leading to a real-terms fall in per-child funding. One of the fastest-growing pressures is home-to-school transport, which cost councils over £1.7 billion in 2023-24 and could rise to £3.4 billion annually by 2030.
To tackle this, the government will write off 90% of councils’ existing SEND deficits—estimated at £5 billion—provided they agree to new local reform plans. Furthermore, from the 2028/29 financial year, the central government will fully absorb the cost of SEND provision into its budgets, removing the burden from local authorities entirely.
Cracking down on costs and building capacity
A major target for cost control is the independent special school sector. These schools currently charge an average of £63,000 per child per year—more than double the £26,000 average cost of a state special school—with over 30% backed by private equity firms. New national price bands and statutory SEND-specific standards will be imposed to end what the government calls “unjustified fee variation”.
“We’re cracking down on providers who put profit before children,” said Education Secretary Bridget Phillipson. “New standards and proper oversight will ensure every independent special school placement delivers real outcomes for children – not unreasonable bills for local authorities.”
Alongside cost control, the decade-long rollout aims to build system capacity. The plans include training 20,000 more SEND coordinators and teachers by 2030, and investing £740 million to create more specialist places within mainstream schools. The full National SEND Framework and a network of regional hubs are not expected until 2028-2030.
The political success of the package rests on convincing sceptical MPs and anxious parents. Labour MP Meg Hillier, chair of the Treasury select committee, summarised the challenge: “The key thing is trust. If parents think their support could be ripped away from them they will worry.” She noted, however, that unlike previous welfare reforms, ministers had consulted extensively and were not focusing solely on savings.
Another Labour MP told the Guardian that while the government had “got everyone very, very anxious,” there was a universal recognition of the need for reform. Government insiders believe that emphasising the continued protections for EHCPs and the extra funding in the system will ultimately bring MPs onboard. The detailed reforms are expected to be set out in a long-awaited schools white paper, now anticipated in early 2026 after reported delays.
