News
15 December, 2024
Residential care sector faces '$500m budget blowout'
New financial data has revealed a significant budget blowout of half a billion dollars in the residential care sector for Queensland’s vulnerable children, the LNP says.
New financial data has revealed a significant budget blowout of half a billion dollars in the residential care sector for Queensland’s vulnerable children, the LNP says.
The predicted shortfall for the 2024-2025 financial year is expected to surpass the initial budget allocation of $658 million, with the total likely to exceed $1 billion by early March 2025.
The residential care system, which provides accommodation for children unable to live with their families, currently costs the state around $1,360 per child per night. As of September 2024, there were 2,093 children in residential care across the state. A concerning trend has been the decade-long rise in the number of children placed in these facilities, particularly those under the age of 12. As of September 2024, 683 children under 12 were living in residential care homes—a dramatic 381% increase from 142 children in the same category in June 2015.
This increase comes amidst rising financial pressures within the system, with the former Queensland Labor government budgeting insufficient funds to cover the growing demand. Last financial year, the Labor government spent nearly $1 billion on residential care, and the current financial year’s $658 million budget is set to be greatly exceeded, leading to an expected blowout of over half a billion dollars.
The issue has been further highlighted by a recent report from the Queensland Family & Child Commission, which revealed that 721 children under youth justice supervision had previously experienced out-of-home care, including residential care facilities. This data points to a broader concern over the lack of effective management and reform in the sector.
Minister for Child Safety Amanda Camm condemned the former government’s handling of the residential care system, accusing them of failing to address the issue and of poor financial management. She stated that Queensland Labor’s failure to budget appropriately, coupled with the rising number of children in residential care, had contributed to the escalating crisis.
“The evidence shows that Labor’s approach to residential care was fundamentally flawed,” Minister Camm said. “The extreme under-budgeting and lack of planning for the growing number of vulnerable children in care is disgraceful.”
