Three new children’s homes are planned for Bristol as concerns grow over private care firms making “high levels of profit”. Bristol City Council will invest £2.2 million on developing the three homes, to provide extra spaces for some of the hundreds of children in care.

The three homes form phase one of a wider project, and include a disabled children’s home, with space for three children; a crisis home, with space for two children; and new supported living for four to 10 young people. Councillors on the children and young people policy committee voted to approve the investment on Thursday, October 17.

Hannah Gillett, senior commissioning manager for children and education, said: “We’ve got rising numbers of children in care and we’re struggling to find residential homes for some of our children with the highest levels of need. There’s high levels of profit-making within the sector, and that combined with a national shortage of homes has effectively created a sellers’ market.

“There’s currently no dedicated capacity for children with disabilities. The nearest disabled children’s homes is in North Somerset. We also want to develop a crisis home, and that will take children in emergencies where little is known about them, and we need a period to let them settle and assess their needs for a referral to a more permanent living arrangement.”

The aim of the capital programme is to get more children and young people in care staying within Bristol, instead of going elsewhere in the country. Phase one means the council is estimated to save £370,000 a year on placing children in private accommodation.

Ms Gillett added: “We’re hoping it’ll bring a number of benefits to our children in care. Children have told us they want to be placed in Bristol near family, friends and school. Increased local provision will enable more children to stay in the city where they were born, and retain connection with their family networks, identity and sense of belonging.”

It’s unclear where the new children’s homes will be opened, but they could likely be located in existing council buildings. The council is also considering buying buildings to convert into homes.