Kinship care allowances guidance
In 2015, the Scottish government and the Convention of Scottish Local Authorities (COSLA) established an arrangement for payment of some kinship carers by local authorities.1 The aim is that there should be parity between the amount the local authority pays for kinship care allowances and fostering allowances (not including fostering fees). The arrangement covers:2Arts 4 and 5 KCA(S)O; Part 2 CYP(S)A 2014:National Guidance on Part 13: support for kinship care, available at •kinship carers of looked-after children; and
•kinship carers where the child is subject to a kinship care order under section 11 of the Children (Scotland) Act 1995 or the carer is the child’s guardian under section 7 of the Children (Scotland) Act 1995; and
◦the child was previously looked after by the local authority; or
◦the child is at risk of becoming looked after; or
◦the child was placed with the kinship carer by the local authority.
Scottish government guidance suggests that local authorities deduct any ‘child-related benefits’ to which the kinship carer is entitled, and that a foster carer would not get, from the amount of the allowance. Specifically, the guidance states that child benefit and child tax credit (CTC) (although not the disabled child or severely disabled child elements of child tax credit) should be deducted if the kinship carer is eligible for these benefits. Guardian’s allowance, if payable, should not be deducted.3Appendix E paras 4, 6 and 7 CYP(S)A 2014:National Guidance on Part 13: support for kinship care, available at The guidance has not been updated to include specific reference to universal credit (UC) and pension credit (PC), but if local authorities are following the logic of the existing guidance, they should disregard the disabled child element/addition if it is included in the kinship carer’s UC or PC. Example
Lynne cares for her eight-year-old grandson, Noah, and has been granted a kinship care order. Before she got the kinship care order, Noah was subject to a compulsory supervision order and was therefore ‘looked after’ by the local authority. Lynne gets child benefit and CTC for Noah and this amounts to £88.65 a week. A foster carer would not get these benefits for a child in her/his care. The local authority’s fostering allowance rate is £150 a week. The local authority deducts £88.65 from the fostering allowance rate and pays Lynne £61.35 a week kinship care allowance.