Thoughts from Catherine…

How children’s savings are stored - accounts, etc

How much is expected to be saved

What savings can be used for - if anything and how this is agreed

How you work out what is transferred and where this goes to (or not, as sometimes this is challenging to transfer the funds)

Disputes from carers or LA in relation to the amount that should have been saved

How this is monitored within the agency in an ongoing way

Other monies for children - pocket money and differing amounts - how this is spent and not withdrawn as punishment etc

Maybe something around the allowance element of fostering - and how this includes monies for activities and holidays - when this becomes excessive, generous or additional requests to support expensive activities - or evidenced that carers not spending on children etc

Members discussion

  • An agency talked of the pitfall of a fc saving for a child, ended up saving centrally as the carer had not saved the amount expected and the agency paid a shortfall - now take off the carer allowance and is itemised on their invoice
  • Carers have preferred to have this responsibility taken away from them
  • Difficulties arise when there are emergency arrangements and children do not stay long
  • Carers often buy lots of things for children and they only stay a few weeks and also save - ends up costing quite a lot in the first couple of weeks of children arriving
  • An agency said they start the savings after a couple of weeks due to this - others dont agree
  • Sometimes a significant amount of money saved and difficult getting it sent to someone - LA not always forthcoming re accounts and ISA’s etc
  • Discussion re ever using savings - some say never touch the savings it is for children in later life - but also examples of buying a car and significant items - lots of hoops to jump through
  • Most say they save 5.00 a week - others say this seems unacceptable that this has been the amount for years
  • Some carers save no problem - can be mixed - changes of social workers can also make it complicated
  • Some agencies have children’s savings that left their care long ago and there is no consistency in LA re child care social worker - and many attempts to send money etc
  • Example of LA that chased some money for a child left years ago and the fc no longer fostering - agency paid the money and was costly
  • Pay direct to an ISA - can move with a child and carer has evidence of amounts going in
  • Finance services in bigger organisations manage this
  • Money is for leaving care - some children then dont know how to spend this and seen some situations where they have used it all inappropriately - needs managing alongside leaving care teams to help young people manage the money
  • Document in supervision in an ongoing way the savings
  • In foster carer agreement
  • In handbook
  • Discuss at application of being a foster carer
  • Trust fund
  • Progress line on charms, checking amounts - so not difficult to track
  • Pocket money - different and for child to learn how to budge - differing amounts expected by LA’s
  • Placement planning meeting - to set out savings and pocket money so clear to all
  • Share foundation discussed by many as a positive option - no issues in transferring funds
  • Admin arrangements at source
  • Purpose for savings can be unclear in contracts
  • Framework contracts to be built in and clear
  • One agency has savings as follows -

5.00 when move in if under 2 yrs old

5.50 for 3yr olds to 6 yrs

6.00 for 7 yr olds

And 8 yrs plus is 2 pounds below the child's age

  • Share foundation helpful but requires commitment from LA
  • Agencies say they do not want to hold on to pockets of money when children leave
  • IRO’s never heard of share foundation
  • Savings for children that can't get an account if not british citizen - challenging
  • Escalation re LA where struggling to set up accounts for children
  • Children who have more than 6k - does impact on their allowance when 18 yrs - this money is not to pay their way - and difficult as means tested
  • Natwest have a good saving scheme for children where they also have debit cards
  • Agency cash the amount on leaving and transfer funds
  • Example of a young person that had 7.5k on leaving and it all went on drinking
  • Itemised list - can / cant spend on - however, this is challenging to enforce
  • Conversations as part of pathway plans and leaving care transition
  • Staying put arrangements and decisions re learning to budget
  • Deprivation of liberty discussed
  • Some children have enhanced rates / foster carer arrangements - for a special holiday etc pass amount to carers - discussion re the intention of enhanced rates and not about passing on money for holidays etc , but the money is there to provide additional support / therapy etc - a carer used for extra tuition
  • Caution of increasing pocket monies to pass into children’s hands and learning to budget and withhold amounts for worthwhile things
  • Agencies want things as clean and straightforward as possible - re not holding money

Chat - and helpful links shared

Do LA IRO#s not ask for the information in reviews? We have seen an increase in CLA Review's requesting that information

The IRO's are now satisfied with knowing at the first review that we take at source and will put into Junior ISA when one is set up by the Share Foundation

Do carers have authority to open a bank account on behalf of a child?

hi yes they do if they have letter from LA and the birth cert

It depends on the delegated authority and whether the LA are in agreement and provide the information

You need ID and birth certificate etc which is also another challenge sometimes

Some banks are easier.

Some LA deduct savings from source before they pay the placement cost

If the child has too many savings, will it affect their entitlements to universal credit, housing benefit etc? And when does a child get access to savings? Do they get full access at 18?

10:41:49 From Harvey Gallagher to Everyone:

Should NAFP be campaigning for an exemption for care leavers in savings counting when benefits are calculated?

absolutely if we can Harvey, if we consider a child getting £10 per week in savings and being in care for 10 years, would be £5200, and if this is with interest then the pot would potentially push them over the limitI assume that the different arrangements in place mean that there are different things happening with the interest being accrued?

Is there ever confusion about the care leaver grant and the savings accrued whilst a child is in care? Could there be occasions where social workers/children/others think that this is the same thing?

I always get it in writing - always - but we send the email for this to everyone - then escalate this with commissioning before it is done

So it would be Social Worker, Team Manager, then we would confirm with Commissioning before we do anything

10:29:09 From Harvey Gallagher to Everyone:

The Share Foundation

The grant for care leavers (LAs provide this) Leaving care allowance uplift: section

31 grant determination letter - GOV.UK

Money Heroes- helpful resources for younger children

Managing my money for young adults | OpenLearn - Open University- this is a course through the open university aimed at teenagers

Financial skills for young people | Lloyds Bank Academy this is aimed from 3-16+