Derbyshire council to charge some parents 50per cent of child care fostering costs

Cash-strapped Derbyshire council has agreed to implement charges for a small number of parents to pay 50per cent contributions towards the authority’s costs of fostering and looking after their children due to budgetary pressures.

The Conservative-led county council’s Cabinet approved the policy at a recent meeting that eligible parents will contribute 50per cent of the age-based fostering allowance for their children who have been placed into care under Section 20 of the Children Act 1989.

But the council stressed this will potentially involve a relatively small number of eligible cases – affecting only an estimated 14 to 28 families – following the consideration of thorough financial assessments, circumstances and risks, and exemptions will apply for some parents including those receiving benefits.

Cllr Julie Patten, Cabinet member for Children and Families, told the meeting: “The current costs of care is approximately £982 per month in foster care and we think it’s a fair policy for those who can afford to do so to be asked to contribute 50per cent.”

The council has not pursued contributions from eligible parents for their children’s care before despite legislation allowing local authorities to do so.

However, the council is addressing an estimated budget deficit for the current 2024/25 financial year of over £39m and it has highlighted and blamed rising costs and demands upon care provision among a number of external influences.

A council spokesperson stated: “The council is faced with severe financial pressures as funding from more established sources fails to meet the cost of delivering services.

“As a consequence, maximising alternative sources of income is crucial if council tax is to remain at an acceptable level and service reductions are to be minimised.’”

The council has agreed to ask for a 50per cent contribution of its weekly fostering allowance towards the care of a child when the youngster is aged under 16 and, even though it is also allowed to request a contribution from the youngster when they are aged 16 and over, it does not intend to do so.

Sometimes when struggling parents need support and agree a child should come into care, according to the council, they will be able to make a financial contribution while still retaining their full parental responsibility under the arrangement.

Parents will not be liable to make a contribution if they receive specific tax credits or social security or welfare benefits, according to the council.

Derbyshire County Council has stated that based on its records over the last six months it estimated that the new policy means as few as between 14 and 28 families whose children enter care in these circumstances would be eligible to be charged.

The Cabinet considered a public consultation before making its decision which revealed that 49per cent of respondents said they agreed or strongly agreed with the ‘proposal’ and 41per cent said they disagreed or strongly disagreed with the ‘proposal’.

Weekly fostering allowance rates in April,2024, for children aged 0 to 4 are recorded at £179.20 with a 50per cent contribution being identified at £89.60, for children aged five to 10 they are £198.57 and would see a 50per cent contribution of £99.26, and for children aged 11 to 15 they are £226.69 with a 50per cent contribution identified at £113.35.

Charges will not apply or affect cases where the council has a statutory duty to protect children who are at risk of significant harm, where risks are unmanageable within the home, and where it is necessary to remove a child from their parents’ care under the Children Act 1989.

In these cases, the council has stated it will continue to take all responsibility for the financial commitments of looking after such a child.