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Written Question
Care Leavers: Finance
Thursday 21st December 2023

Asked by: Lord Polak (Conservative - Life peer)

Question to the Department for Education:

To ask His Majesty's Government, further to the Autumn Statement made by the Chancellor of the Exchequer on 22 November (HC Deb cols 325–357), whether they have any plans to provide an enhanced package of financial support for care leavers aged 18 to 25 when they leave the care system.

Answered by Baroness Barran - Shadow Minister (Education)

The department recognises the challenges that care leavers face as they make the transition from care to living independently and have put in place a range of support measures.

To help care leavers to engage in education, employment and training (EET), the department has increased the Care Leavers’ Apprenticeships Bursary from £1,000 to £3,000. Local authorities are required to support care leavers to engage in EET, including providing a £2,000 bursary if the young person is studying in higher education. Care leavers are also a priority group for the 16 to19 bursary if studying in further education (up to £1,200 per year).

In addition, the department has increased the leaving care allowance from £2,000 to £3,000 to enable care leavers to furnish their first home, and the Junior ISA scheme provides an initial £200 payment to open a savings account for all children who have been in care continuously for 12 months. Anyone can pay money into the accounts, and the funds can then be accessed by the young person when they leave care at age 18.

Improving outcomes for care leavers is a cross-government priority and there are a range of ways in which the government is supporting care leavers to reduce their financial vulnerability, including:

  • Providing support to care leavers through the Household Support Fund, which local authorities can use to help vulnerable residents to help with cost-of-living increases.
  • Promoting the support available through the Warm Home Discount Scheme, which provides support with energy costs over the winter.

Local authorities are required to publish their ‘local offer’ for care leavers, setting out care leavers’ legal entitlements, plus any further discretionary financial support that the local authority provides, such as Council Tax Exemptions, free leisure passes and rent deposit/guarantor schemes.

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