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Two residential units will be built for children in care with "complex needs" to prevent them moving out of the county to receive help.

Gloucestershire County Council said it spent £7.8m a year for 100 11 to 18-year-olds to be looked after elsewhere, expected to rise to £9.2m by 2023.

It now plans to spend £8m over five years to set up a local care service.

Council chiefs said it would reduce disruption for the young people's studies and work.

Each residential unit will be able to house up to four people in each unit at any one time.

The proposals were approved at the cabinet meeting earlier.

Cabinet member Paul McClain said: "If they're hundreds of miles from home and not coming back and not being able to contribute in the way they can then it's got to be morally right to take different approach."

He added: "If we can turn one child's life around, keep them out of the judicial system, keep them out of secure mental care when they're adults then we have done the right thing."

In 2011-12 Gloucestershire had 465 children in care. The number now stands at 627.