I thought foster carers already received a payment, so what's new?
Well, they're caring for children on behalf of the state, and thatdeserves some financial recompense, don't you think? Section 49 of theChildren Act 2004 introduces a power for children's services authoritiesor voluntary organisations in England or Wales to make payments tofoster parents with whom they place children. Up to now, foster carershave been paid allowances of varying rates, often based onrecommendations made by the Fostering Network, but with the actualamounts left up to the placing agency. This leads to inconsistencies anda lack of clarity.
So what is the Government consulting about? The concept of astandardised minimum rate for fostering. The question is, how muchshould this payment be?
What does caring for a child cost these days? According to Which?,parents pay out an average of about 7,900 a year just foressentials. People who provide foster care are paid by the week, and thebasis for payment is different: for example, carers often need asettling-in allowance for children when they first arrive, or additionalmoney to cover specialist support. Fostering allowances often increaseas the child grows older, and the costs of keeping them well and safealso rises. The Fostering Network has a table of possible rates, rangingfrom 117 per week outside London for a child from birth to fourto 227 per week in London for a young person aged 16 plus.
How are these calculated? The paper mentions two possible approaches,the first based on actual expenditure and the second on following anagreed budget. This second method means the weekly rates provide aminimum amount, to which bonus payments for things like clothing, aholiday or birthday treat should be added. Foster carers are alsoeligible to claim other benefits like tax credits. In its consultation,however, the Government states that it would prefer to base the newnational minimum allowance on actual expenditure.
And how much is that? Less than the allowances proposed by the FosteringNetwork. Under the Government's figures, those caring for babies wouldreceive a minimum of 99.56 per week; and those caring for youngpeople in secondary school would receive 112.89 per week. TheGovernment is asking whether its methodology is sound.
But the cost of living can be higher in some places than others. Thepaper refers to regional variations in rates, and asks whether a higherrate should apply to London only, London and the South East, or otherareas. It's also seeking responses on the age bands at which the ratesshould vary, with particular focus on teenagers, especially those overthe age of 16.
I thought one of the problems was about making sure people are paid.
Inefficient payment systems have caused a lot of unhappiness anddistress.
The paper proposes setting up a series of good practice principles,including responsiveness, transparency, simplicity and paramountcy (asin, recognising that foster carers are professionals who need to be paidfor their very important work).
What do the children think about this? Young people who have spent timein foster care were consulted as part of the development of thispaper.
They didn't believe they needed to know about amounts paid to theircarers, but they did want clear information about their ownentitlements, including pocket money.
FACT BOX
- At 31 March 2004, 61,100 children were in public care, a five per centincrease since 2000; 41,600 of these children were in foster care(Department for Education and Skills statistics)
- The national minimum fostering allowances consultation is availablefrom the DfES atwww.dfes.gov.uk/consultations/conDetails.cfm?consultationId=1378
- Responses are due by 25 April.
