Agenda item

Report of the Director of Children and Young People’s Futures (CS/24/50) seeking approval for increases to fostering allowances, attached.

RESOLVED

(a) that the standard fostering allowance for 16–17-year-olds increases by 7.49% (in line with the DfE National Minimum Rates) and all other standard fostering allowances for children aged 0-15 years be increased by 6.33% from 3rd April 2023;

(b) that a 5.92% increase in the foster carer fee (previously linked to attendance at support groups and training) from 3rd April 2023, be agreed;

(c) that the standard fostering allowance for 16–17-year-olds increases by 6.88% (in line with the DfE National Minimum Rates) and the standard fostering allowances for children aged 0-15 increases by 3% from 1st April 2024;

(d) that a 3% increase to the foster carer fee from 1st April 2024 be agreed; and

(e) note that the impact of these increases in the fostering allowances, backdated to April 2023, will increase the Children’s Services Outturn by £690,000, compared to the Month 10 forecast.

(Councillors Biederman, Leaver and Whitton attended in accordance with Standing Order 25(2) and spoke to this item).

The Cabinet considered the Report of the Director of Children and Young People’s Futures (CS/24/50) which sought approval for increases to fostering allowances, circulated prior to the meeting in accordance with regulation 7(4) of the Local Authorities (Executive Arrangements) (Meetings and Access to Information) (England) Regulations 2012.

The Cabinet noted that the availability of local foster placements was key to the Council’s sufficiency of suitable placements for children looked after and as the corporate parent for all the children looked after, it was essential that in-house foster carers received the right level of support, training and financial recompense to meet the often complex and varied needs of our children in care.

As of March 2024, there were 888 children looked after by the Council; Of those, 570 (64%) are in foster care, 377 (42.3% of the total number) resided within the Council’s own fostering provision and 185 (20.8% of the total) were placed with a foster carer provided by an Independent Fostering Agency (IFA). There had been an 18% rise in the number of Children in Care in Devon in the last three years but no net gain of in-house foster carers. 

An assumed increase of 6.4% for fostering allowances had been built into the 2023/24 budget, but after the budget had been set, the DfE had published the National Minimum Allowances (NMA) for fostering allowances. This was more than what had been budgeted for.

There was also a challenge in recruiting and retaining foster carers, with recruitment declining and the number of children looked after increasing. In addition, neighbouring authorities and Independent Fostering Agencies offered competitive packages of financial support which meant that other Local Authorities in the South West fared better in the recruitment and retention of Foster carers. The table at 3.5 of the report detailed the comparative data.

In considering how best to allocate the budgeted funds available for foster carers, a number of factors had been considered, including the need for any increase to be financially sustainable and meet the NMA. It should also be increased for internal fostering, CPAT, PACE, Staying put, SGO, CAO and adoption to ensure the maximum number of carers benefitted from any uplift. Fees in relation to attendance at support groups and training should be combined and it was not proposed to increase the birthday / festival allowances, hospitality, childminding, transport, and training expenses.

A number of options had been considered with the budgetary impact outlined (paragraph 4.1).

1.    Option 1 was to increase the standard allowance for 16/17 year olds only by 7.49% with no other increases to the standard allowance for other age groups.

2.    Option 2 was increasing the allowance for 16/17-year-olds by 7.49% and all other standard allowances by 6.33%. There would be no increases to any other allowances or fee payments.

3.    Option 3 was to increase the standard fostering allowance by 7.49% for all allowances.

4.    Option 4 was increasing the standard fostering allowance by 7.49% for 16-17 year olds and 6.33% for all other child related allowances. Increase the training and support group fee by 5.92%.

Option 4 was the preferred option as it allowed for inflation recognition across both the child related allowance and the foster carer fee payments. Whilst there were no uplifts to additional payments, this option allowed for all foster carers to benefit from the uplift. The Cabinet also noted the cost pressure associated with option 4 given backdating some increases to 3rd April 2023 and this was outlined in full at section 7 of the Report.

A consultation had taken place on the proposed uplifts for 23/24 and 24/25, with the outcome reported at section 5 and the Report highlighted that no equality implications had been identified as part of the proposals.

In summary, the proposal ensured that the Council was meeting the national minimum rates for 16/17-year-old carers and provided an increase in the allowances and fees paid to all carers within the fostering budget.

The matter having been debated and the options and alternatives and other relevant factors (e.g. financial, sustainability and carbon impact, risk management, equality and legal considerations and alignment with the Council’s Strategic Plan) set out in the Director’s Report having been considered:

it was MOVED by Councillor Leadbetter, SECONDED by Councillor Hart, and

RESOLVED

(a) that the standard fostering allowance for 16–17-year-olds increases by 7.49% (in line with the DfE National Minimum Rates) and all other standard fostering allowances for children aged 0-15 years be increased by 6.33% from 3rd April 2023;

(b) that a 5.92% increase in the foster carer fee (previously linked to attendance at support groups and training) from 3rd April 2023, be agreed;

(c) that the standard fostering allowance for 16–17-year-olds increases by 6.88% (in line with the DfE National Minimum Rates) and the standard fostering allowances for children aged 0-15 increases by 3% from 1st April 2024;

(d) that a 3% increase to the foster carer fee from 1st April 2024 be agreed; and

(e) note that the impact of these increases in the fostering allowances, backdated to April 2023, will increase the Children’s Services Outturn by £690,000, compared to the Month 10 forecast.