Are foster to adopt payments means tested?
Foster to adopt payments are generally not means tested while the child is placed under fostering arrangements, so your household income does not usually determine the fostering allowance. Any financial support that continues or begins after an adoption order may be assessed differently, depending on the relevant adoption support rules and the local authority’s policy.
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Foster to adopt payments are not usually means tested during the fostering stage. This means the fostering allowance is generally linked to the child’s placement and the fostering terms agreed with the fostering service, rather than being reduced because you or your partner earn above a particular amount.
Foster to adopt is a form of concurrent planning. The child is initially placed with approved foster carers under fostering arrangements while decisions about their long-term care are made. During this period, payments are normally treated as fostering payments. The relevant fostering service sets out what the allowance covers and whether any additional fee, expenses or specialist payment applies.
A fostering service may take account of matters such as:
- the child’s age, needs and circumstances;
- the level of care and supervision required;
- approved fostering terms and the local authority’s payment structure;
- agreed costs connected with the placement; and
- any changes to the placement or the child’s assessed needs.
These are placement-related considerations, not a test of whether your household income is low enough. A household’s finances are considered separately during the fostering assessment, because applicants must be able to manage their ordinary commitments and provide a stable home. That assessment is about financial suitability and planning; it is not the same as means testing the allowance.
The position can change if the child later becomes subject to an adoption order. Once the legal status changes, fostering payments will normally end because the child is no longer in foster care. Any continuing adoption support payment is considered under adoption support arrangements, which can include an assessment of the family’s financial circumstances as well as the child’s needs. The assessment may consider income, benefits, regular outgoings and other relevant resources. Local authority policy also affects whether support is offered and how it is calculated.
This means that a family could receive fostering payments without a household-income assessment determining the amount, but later be asked for financial information when adoption support is considered. A means-tested adoption support payment may be reduced, refused or reviewed depending on the assessment and the circumstances at the time. Not every family will qualify for ongoing financial support, and support may take forms other than a regular payment.
It is important to ask for the payment arrangements in writing before accepting a foster to adopt placement. The fostering service should explain:
- which payments apply while the child is legally looked after;
- whether the payment includes an allowance, fee, expenses or separate supplements;
- when payments start and what happens if the placement changes;
- how the arrangements will be reviewed if an adoption order is made; and
- what financial assessment is required for any adoption support application.
Keep records of the information provided and report relevant changes in your household or the child’s circumstances. The clearest answer for an individual placement will come from the responsible fostering service or local authority, because the payment terms and adoption support assessment are separate decisions.
“Means tested” applies to a particular payment decision, not necessarily to the whole foster to adopt arrangement. If you are asked to complete financial forms, check which payment they relate to and who is making the decision. The request may concern proposed adoption support rather than the allowance paid during the fostering stage.
Before agreeing to the arrangement, ask the responsible authority to identify the relevant payment in writing and explain whether its decision can be reviewed if your circumstances change. Keep copies of the forms, payment information and any decision letters so you can distinguish the fostering arrangements from any later adoption support decision.
Get guidance on whether foster to adopt payments are means tested
For guidance specific to your circumstances, speak to our fostering team about the payment information provided for a proposed foster to adopt placement and any questions you need to raise before deciding.