G4S completes sale of children's homes for £11m

The 18 homes, which house more than 80 children will now be managed by education, employment, training and care provider the Prospects Group, which paid £11.4m for the business. 

G4S announced its decision to exit children's services in February 2016, just weeks after a BBC Panorama investigation revealed allegations of abuse by staff at its Medway secure training centre (STC) in Kent. 

This led to a Youth Justice Board investigation into the firm's safety standards. 

At the time, the company said the decision to end its role in the children's care market was part of a "review of its portfolio of businesses", and the sale would include contracts to manage STCs in both Medway and Oakhill.

However, Prospects is only acquiring G4S's "homes2inspire" children's homes business, not the STCs.

The homes2inspire business currently holds contractual agreements with local authorities in Derbyshire, Nottingham, Northamptonshire, Oxfordshire, Bedfordshire and Worcestershire.

All current staff, including social workers, psychologists, education welfare officers and youth workers, will transfer to the new owners under the agreement.

Prospects chief executive Nick Bell said the acquisition was part of the organisation's "growth strategy to support more young people every year".

"Homes2inspire will give us a basis for further development in the social care market and we look forward to working with all of our new colleagues to do this," he said.