Is there a kinship placement payment at the start of care?

In practice, a kinship placement payment is usually a one-off or initial contribution made when a child moves into the care of a relative or connected person. It is intended to help with immediate costs, but the name, rules and approval process vary between local authorities and according to the legal arrangement being used.

The type of placement is important. A child placed with a relative under an approved kinship fostering arrangement may be covered by the local authority’s fostering financial policy. A child living with a family member under a special guardianship order, child arrangements order or informal family arrangement may be dealt with under different rules. A family relationship on its own does not create an automatic entitlement to a placement payment.

Where an initial payment is available, it may help with costs such as:

• essential clothing, bedding or furniture;
• equipment needed to make the home suitable;
• travel connected with the child moving into the placement;
• items needed for school, activities or personal care; and
• other immediate needs identified during the placement planning process.

These examples are not a standard national list. The local authority may set its own eligible costs, maximum amount, evidence requirements and payment arrangements. It may also decide that some items should be supplied directly rather than reimbursed to the kinship carer.

A placement payment should not be confused with the regular kinship fostering allowance. An initial contribution is generally designed to meet immediate setting-up costs, whereas an ongoing allowance is intended to contribute towards the child’s day-to-day care. The two forms of support may be considered separately, so receiving one does not necessarily confirm entitlement to the other.

Before agreeing to a placement, ask the child’s social worker or the local authority’s fostering or kinship team to confirm:

• whether the proposed legal arrangement qualifies for an initial payment;
• who can apply and whether formal approval is required first;
• how the amount is calculated;
• which costs are covered and whether receipts are needed;
• when the payment will be made;
• whether it is a grant, reimbursement or recoverable advance; and
• how the payment affects any ongoing allowance or other support.

Financial support may be assessed alongside the child’s needs and the carer’s circumstances. Some schemes use set criteria, while others involve an individual decision by the local authority. Do not assume that the payment is means-tested, or that it is not means-tested, without checking the policy that applies to the placement.

If the child has already moved in and no payment was discussed, contact the social worker promptly and ask for the financial arrangements to be recorded in writing. Explain the immediate costs you have incurred and keep receipts and other evidence. If a placement payment is unavailable, ask whether another form of practical or financial assistance can be considered under the local authority’s children’s services or kinship support arrangements.

The most reliable answer will come from the authority responsible for the child’s placement, because it can confirm the child’s legal status, the approval route and the relevant local policy. A kinship carer should be given clear information about initial and ongoing support before accepting responsibility wherever the circumstances allow.