Can foster carers claim a foster care grant?

A foster care grant is usually a discretionary payment provided by a fostering service or local authority to help meet a specific cost connected with caring for a fostered child. It is separate from the regular fostering allowance, which is intended to contribute towards the child’s everyday living expenses.

There is no single national foster care grant with one standard application process or payment level. A grant may be available for an agreed purpose, such as essential equipment, clothing, school-related costs, activities, celebrations, travel or setting up a child’s room. The types of expense covered depend on the policy of the organisation responsible for your approval and the needs of the child in your care.

Who can apply? Eligibility normally depends on your approval status, the child’s circumstances and the reason for the request. Some schemes are available to all approved foster carers who meet the relevant conditions, while others may be limited to particular placements or exceptional expenses. A grant may also need to be requested before you commit to the expense.

Being approved to foster does not automatically mean that every grant will be available. The fostering service may consider whether the cost is necessary, whether it should already be covered by your fostering allowance, and whether another source of funding should be used. The decision may also depend on available funds and any local policy requirements.

How to apply for a foster care grant

• Check the fostering service’s financial support policy or ask your supervising social worker which grants are available.
• Explain what the money is for, why the expense is necessary and how it relates to the child’s needs.
• Obtain approval before buying anything if the scheme requires prior authorisation.
• Provide estimates, receipts or other evidence where requested.
• Keep a record of the application and the decision, particularly if the payment is made for a specific purpose.

Your supervising social worker, fostering team or placements department should be able to tell you whether the request should be made through the fostering service, the child’s social worker or the local authority. Ask who is responsible before making a purchase, as retrospective applications may not be accepted.

What is the difference between a grant and a fostering allowance? A fostering allowance is the regular payment made to support the costs of caring for a child. A grant is generally an additional payment for a defined expense and may be one-off, occasional or subject to a separate approval process. A grant should not be treated as guaranteed income when planning your household finances.

Could a grant affect tax or benefits? The treatment can depend on the nature of the payment and the rules of the relevant scheme. Foster carers should keep paperwork showing what the grant was for and who paid it. If you receive Universal Credit or another means-tested benefit, check whether the payment needs to be reported. For tax questions, consider the specific fostering payment alongside your qualifying care relief records and seek advice from HM Revenue and Customs or a suitably qualified adviser.

A foster care grant is also different from other support that may be available for a child, including disability-related support, education funding or help with travel. Those schemes have their own eligibility rules and applications, so do not assume that a fostering grant replaces them.

Before applying, ask for the current policy, the expenses covered, any maximum amount, the evidence required, whether approval is needed in advance and how the payment will be made. This will give you a clearer view of the support available and help avoid committing to a cost that the fostering service cannot reimburse.