Cost of Fostering Campaign

Allowances

Fees

Council tax

The #CostofFostering campaign 

In the wake of an ongoing cost-of-living crisis, The Fostering Network is calling on governments across the UK to provide urgent funding to cover the cost of fostering, so children and young people do not miss out.

The issue 

Foster families are currently receiving much less than they need to support the children and young people in their care to achieve their best possible outcomes. The Fostering Network has campaigned for improvements to foster care allowances over its 50-year history.

The current national minimum allowances (NMAs) set by governments across the UK are not enough to cover the full costs of caring for a child and supporting them to thrive. The rates are based on out-of-date research, have not been keeping pace with inflation and are not aspirational for our young people.

Paying in line with the government's NMA is not statutory, nor is it monitored nationally. This results in inequality for children across the UK due to the variation in financial support available. Many foster carers have to dip into their own pockets to cover the costs of caring and this is not acceptable. This has been an issue for foster carers for many years, well before the current cost-of-living crisis.

Insufficient allowances are putting unnecessary pressure on fostering households. As the number of children in care remains at almost record levels, it is essential that we support foster carers and ensure there are the right number with the range of skills and knowledge to meet the needs of the children who need them most.

The Government are currently failing children in care, as well as the foster carers who provide them with a loving, secure and nurturing home.

Progress so far 

 

This year we have made significant progress in campaigning for higher allowance rates that keep pace with inflation across each country of the UK. However, allowance rates in each country are still lower than our recommended rates which include the additional costs of caring for a child in foster care so we will keep campaigning for rates to reach these. 

England 

Due to continual pressure as part of our #CostOfFostering campaign to increase low allowance rates, the Department for Education announced an increase in the national minimum allowance (NMA) by 3.35% in 2026/27 for foster carers in England. This is the fourth year running the NMA has been increased in line with inflation in England.  

The Government also announced that there will be a minimum annual uplift of either 2.5% or the rate of inflation (whichever is higher) for 2027/28 and 2028/29. It’s the first time in over a decade that the Government has made this commitment, which is set out in the latest Spending Review.     

 

Northern Ireland 

After two years of no uplift, the Northern Ireland Government announced a much-delayed uplift of 4% to the Foster Care Allowance for the financial year 2025/26, which will be backdated to 1st April 2025. They also announced an uplift of 3% for this financial year 2026/27, which will be back dated to the 1st April 2026. 

We welcome this long-awaited uplift and are pleased to see that foster carers will be backdated to April 2025.

 

Scotland 

As a result of our campaigning during the passage of the The Promise [Children (Care, Care Experience and Services Planning) (Scotland)]Act,Scotlandwill bethe first nationacross the UKto enshrine anannual uprating duty on fosteringand kinshipallowancesinin legislation so allowances will always have to rise in line with inflation. We also worked with MSPs to introduce amendments which were passed torequire services to publish their payment ratesandpublish separate allowance and fee rates so there will be greater clarity for foster carers between payments. 

In February 2026, the Scottish Government announced a 3.8% increase to allowances for 2026/27. 

 

Wales

In 2026 we welcomed a newrequirementin thePart 6DraftCode ofPractice (statutory guidance)thatall services should pay the National Minimum Allowance andthe introduction ofa new enhanced allowance (fee) for foster carers after a consultation on this in 2026. 

However, weraised concerns that thecode does notattemptto harmonise allowances or fees across Wales or introduce a national fee framework as exists forallowanceswhichis something we havelong campaignedfor. 

In February 2026, the Welsh Government announced an uplift of 2.2% to allowances for 2026/27.  

 

The solution – a fairer funding framework 

Our #CostofFostering campaign is calling for a fairer funding framework that covers the full costs of caring for a child in foster care and supports them to thrive.   

Our calculations supported by Pro Bono Economics, are based on the Minimum Income Standard for the United Kingdom and Nina Oldfield's ‘The Adequacy of Foster Care Allowances’ which include the additional costs of caring for a child in foster care.    

The Fostering Network’s 2026/27 recommended rates are:  

  • £251 per week to raise a child in foster care aged 0-4 years
  • £343 per week to raise a child in foster care aged 5-10 years
  • £434 per week to raise a child in foster care aged over 11 years. 

 

The Fostering Network is calling on governments across the UK to:   

  • Significantly invest in the rates of fostering allowances to meet our recommended rates and ensure they cover the full costs of caring for a child in foster care so they can thrive.
  • Increase the upper age limit of the NMA to ensure that young people, while still living in a fostering household in post-18 arrangements, can access stability and support into adulthood.
  • Regularly review their NMAs in line with annual inflation and other relevant factors. Enshrine uprating duties in legislation as Scotland have done.
  • Expect and ensure all fostering services to adhere to nationally agreed allowances.
  • Work with regulatory bodies for fostering in each nation of the UK to introduce systems to monitor compliance with the NMA, in line with current regulatory requirements, to ensure consistency and transparency for children, foster carers and potential future foster carers.  

Find out more about our allowances research.

Keep updated on our cost-of-living campaign and find out how you can get involved. As well as hearing more about our cost-of-living campaign, you will also receive regular updates about our latest campaigns, what the policy and campaigns team have been up to and how you can get involved to help make vital change.

If you want to get in touch with our policy team about anything from this page, please email [email protected].