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Section 41 providers are commissioned by the Department for Education and each provider has to follow a process to assure central government that they are fit for purpose.
They are quality assured by OFSTED.
The institutions are usually outside of London and offer residential support for learners. Many of the institutions have a specialism such as facilities for those with sensory impairment.
Residential places are expensive and on average cost the borough more than 50k per learner.
Therefore as advised in the SEND Code of Practice London Borough of Waltham Forest aims to work with local providers in providing high quality placements that allow learners stay within the locality.