Financial allowances pilot for kinship carers

Eligibility for SGOs

The points at which:

1. Kinship carers who obtain an SGO in public law children’s proceedings are eligible for a weekly financial allowance.

2. Kinship carers who obtain an SGO in private law proceedings are eligible for a weekly financial allowance.

3. Kinship carers who have applied for an SGO through private law proceedings and have passed the first hearing dispute resolution appointment (FHDRA) are eligible for a weekly financial allowance under the pilot. SGO eligibility does not depend on the ‘otherwise in care’ conditions, which apply only to CAO cases.

Eligibility for ‘lives with’ CAOs

4. Kinship carers who obtain a ‘lives with’ CAO in private law, or who have applied and have attended a FHDRA for children’s proceedings are eligible for a weekly financial allowance if one of the following conditions applies: a. The interim or final ‘lives with CAO’ does not name a parent of the child subject to the Order (if the CAO names a parent that the child lives with, the kinship carer is not eligible); and

‘Otherwise in care’ conditions (applies only to CAOs)

b. One or more of the following criteria apply in respect of the child’s circumstances:

• immediately prior to the child being placed in a kinship arrangement, they were looked after by a local authority either via an Interim Care Order or an arrangement under section 20 of the Children Act 1989

• immediately prior to the kinship arrangement, the child was or is still under a child protection plan

• the ‘lives with CAO’ was obtained in private law children’s proceedings during which the family court noted safeguarding concerns arising from the contents of a welfare report

• an FGDM meeting was convened, and a decision was taken for the child named under the ‘lives with’ CAO to live full-time with a named kinship carer, which the child now does

• both parents of the child subject to the ‘lives with’ CAO are deceased, but prior to passing at least one of them was caring for and living with the child named under the ‘lives with’ CAO

• the child subject to the ‘lives with’ CAO was abandoned by either or both of their parents and at least one of them was previously caring for and living with the child, subject to the ‘lives with’ CAO immediately before abandoning the child

• either one or both parents of the child subject to the ‘lives with’ CAO are imprisoned, but immediately prior to that the parent/s were previously caring for and living with the child

• either one or both parents have been detained in hospital pursuant to the Mental Health Act 1983, but they were previously caring for and living with the child immediately prior to being detained.

The government have said, “The 7 local authorities were selected following an expression of interest process held last June. The applicants that passed the criteria where then randomly selected by an algorithm. Together, the seven local authority areas offer a useful mix of geography, demographics, and service models. This was intentional as the pilot is designed to test what works at scale in varied local contexts, so robust learning can be generated for future decisions. 

As the programme is a time‑limited test‑and‑learn pilot, the aim was not to create a national offer but to select a set of areas whose data would collectively produce a robust evidence base. Lessons will be published and used to inform future policy decisions. You can find more information about the Expression of Interest process here: Kinship Allowance Pilot – GOV-UK Find a grant.”

The government have previously said that, where eligible kinship carers are continuing to receive ongoing financial support from the local authority where their child was previously looked after and that local authority is participating in the pilot, the local authority is expected to continue providing financial support for the duration of the pilot regardless of where the kinship family may currently live. 

This applies even in circumstances where ongoing financial support was due to end, including where a local authority would typically have ceased providing financial support after 2 or 3 years following a special guardianship order being made. This means that eligible kinship carers supported by participating local authorities may continue to receive ongoing financial support for longer than expected. For the purposes of the pilot and in order to ensure robust evaluation, participating local authorities will be asked to retain responsibility for supporting special guardianship families where the child was previously looked after beyond the 3 years outlined in special guardianship statutory guidance. 

Eligible kinship carers living in Wales, Scotland or Northern Ireland can be supported through the pilot if the child they care for was previously looked after by a local authority in England and they are participating in the pilot.

We’re seeking further confirmation on this point and will update this page as soon as possible.

If you are eligible to claim a financial allowance under the pilot, you are under no obligation to take the allowance. Eligible carers will be able to choose whether to make a claim to receive the allowance or not. 

The DfE wants to understand the impact of improving financial support for kinship carers and to establish if this helps to minimise the risk of kinship placement breakdown, enables kinship families to consider arrangements outside of the care system, and subsequently alleviated cost pressures on local authorities. 

The impact of the pilot on local authorities, kinship carers and children in their care will be independently evaluated. Decisions about future rollout will be informed by the findings of the evaluation.

Eligible kinship carers do not need to complete training to access the allowance.

he DfE are encouraging local authorities participating in the pilot to provide kinship carers with: 

• clear information about their local offer 

• the level of involvement they will have in the kinship family’s life 

• straightforward guidance on eligibility and how to apply  

• a designated point of contact for kinship carers within the local authority 

• support that goes beyond financial assistance 

• support pathways for kinship carers not eligible for the pilot 

You can also read the full list of guidance for the local authorities involved in the Kinship Zones pilot, given by the DfE. 

Normally, the local authority where a child was previously looked after is responsible for providing support for 3 years after a special guardianship order is made. After 3 years, responsibility usually transfers to the local authority where the special guardian and child now live.  

If you are a special guardian and start receiving the allowance from a local authority participating in the pilot, they remain responsible for providing the allowance for the entire duration of the pilot, even if this means continuing beyond 3 years. 

If you are a special guardian moving to a Kinship Zone and the child you care for was previously looked after by a different local authority, you become eligible for the allowance once the responsibility of the original local authority ends, 3 years after the SGO was made. 

In some cases, a court may order that the original local authority is responsible for supporting the child until they turn 18. If this applies to you, this overrides the 3 year rule, meaning you would not be able to claim the allowance in the Kinship Zone. 

If you move to a Kinship Zone and are not receiving any support from the original local authority (even if you move within the first 3 years), you are eligible for the allowance through the pilot. 

The DfE is encouraging local authorities to help kinship carers plan for their longer-term financial situation even at this early stage. This includes: 

• Preparing carers for the possibility that allowances may change at the end of the pilot 

• Working with carers to understand their longer-term financial needs 

• Helping them access wider local support 

• Giving them clear information about what to expect when the programme reaches its end