This paper reports the results of a statistical study of the determinants o
f expenditure on children's social services in twenty-five local authoritie
s in England. The study was commissioned as part of the Government's review
of Standard Spending Assessments for Personal Social Services. The study c
ombined data from a variety of sources, including local authority registers
, to infer the distribution of expenditure between 1,036 small areas with p
opulations of about 10,000. Multilevel statistical techniques were used, an
d suggested that the principal determinants of expenditure are children in
lone parent families, children in families of income support claimants, chi
ldren living in flats, children with limiting long-standing illness, and po
pulation density. As well as these results, the study yielded important ins
ights into potential improvements for Standard Spending Assessment methodol
ogy.