Can private foster carers claim expenses separately?

Private foster carers may be able to claim some costs separately from the regular financial arrangement, but there is no automatic entitlement to reimbursement. Private fostering is usually arranged by a child’s parents, rather than by a local authority placing the child. The parents remain responsible for agreeing how the child’s everyday needs and any additional costs will be paid for.

The regular payment or allowance should be clearly distinguished from separate expense claims. An allowance may be intended to contribute towards ordinary costs such as food, household bills, clothing and routine activities. A separate expense may instead relate to a particular item or event that is not reasonably covered by the agreed everyday amount.

Potential examples could include:

• essential equipment needed when the child moves into the household;
• school uniform, books or other education-related items;
• agreed travel costs for contact, school or appointments;
• fees for activities that are important to the child’s wellbeing or routine;
• unusual medical, dietary or personal-care costs; and
• one-off items needed because of the child’s age, circumstances or additional needs.

These examples are not automatically payable. Whether an expense can be claimed depends on the circumstances, the child’s needs and what the parents or other responsible adults have agreed. Some costs may be covered within the normal allowance, while others may need prior approval as an additional payment.

The safest approach is to agree the financial arrangements in writing before the placement begins. The agreement should explain:

• the amount and frequency of the regular payment;
• which ordinary costs that payment is expected to cover;
• which types of expense can be claimed separately;
• who must approve an expense before it is incurred;
• whether receipts or other evidence are required;
• how and when reimbursement will be made; and
• what happens if the child’s needs or circumstances change.

Ask for confirmation before paying for a significant item yourself. A cost may be reasonable but still not reimbursable if it was not agreed in advance. Where advance approval is not possible, record why the expense was necessary and contact the relevant parent, social worker or local authority representative as soon as possible.

Keep receipts, invoices and a simple record of the date, purpose and amount of each claim. This helps everyone distinguish genuine placement-related expenses from normal household spending and makes it easier to review the arrangement if costs increase.

Financial arrangements should also be reviewed when the child’s education, health, travel, contact arrangements or daily care needs change. If there is disagreement about payment, avoid making assumptions about who is liable. Refer back to the written agreement and seek guidance from the local authority’s private fostering team or the professional supporting the arrangement. Clear records and early discussion are usually the most effective ways to prevent an expense dispute.