BIG changes could be afoot for special needs children as an efficiency review reveals the county council spends nearly £9 million on just 155 out-of-county school placements.

A further £7 million a year is spent sending special needs children to independent schools in Dorset because the local authority has insufficient provision.

And calls have been made for a new special school here after a review of individual cases showed hundreds of thousands of pounds could have been saved if children's needs were met by the authority.

The review comes as Dorset County Council faces up to a £20 million funding deficit and amid calls from the Commons education select committee for greater government clarity over the role of mainstream schools in special needs education.

They claim some mainstream schools are unwilling to accept special needs children, for fear of damaging their position on league tables.

Although county council chiefs say their policy is to include special needs children in mainstream schools where possible, more than 90 per cent attend special schools.

Deb Appleby, who led the review, says: "The key issue is that a higher proportion of children with special educational needs are placed in special schools than in mainstream schools and, because of the available provision in the locality, these can be independent schools rather than maintained schools.

"This represents not only a high cost in absolute terms but relates to relatively few children.

"Recent reports to the Cabinet have identified the need to educate more children in-county.

"There seems to be general agreement that a new facility is required.

"A priority should be to develop sufficient provision for children with autistic spectrum disorder."

The review panel is urging the Cabinet to press ahead with enquiries for better in-county facilities. A business case is already being drawn up.

Mrs Appleby added: "The authority needs to spend to save. Investment in further local provision would pay off in the long run."

The council currently relies on partnerships with schools such as Langside, Portfield and Victoria, to save on the cost of sending children to independent schools. But they say in-house provision would be cheaper.

The matter will be discussed at a Cabinet meeting on Wednesday, July 12.