Adoption and Special Guardianship Support Fund

Edward Morello Excerpts

Thursday 4th September 2025 Westminster Hall

[Alison Bennett]

I thank my hon. Friend for his intervention; he makes an excellent point. A lack of long-term funding will put people off adopting children or taking children into kinship care. It also risks putting providers off providing support.

Ministers have insisted that the fund has not been cut, but that is because the overall pot has remained unchanged. For children and families, however, the reality is very different. Individual allowances have been reduced. The per-child therapy limit has been slashed from £5,000 to £3,000, which is a 40% cut, and the separate £2,500 allowance for assessments has gone. Match funding for complex cases has ended.

Families now face impossible choices; they can have therapy or assessment, but not both. One provider put it bluntly, saying:

“It’s like asking a garage to fix a car without first checking what the problem is.”

This situation is a waste of time and money, and the consequences are already being felt. Children have had their therapy stopped abruptly while applications were resubmitted. Families have endured months-long gaps without support. Parents describe sharp declines in mental health, rising violence in the home, and children losing trust in professionals. One provider told me of a young child who was heartbroken to learn that their therapy was ending. They asked:

“If I save up my pocket money, can I keep seeing you?”

That question should haunt us all; it certainly haunts me. It shows just how fragile trust is for children whose lives have already been shattered by trauma, and whose early years have been defined not by making the secure attachments that are so important for getting the right start in life. Relationships are everything; to pull away support is profoundly damaging.

The data backs that up. This year’s adoption barometer found that 42% of families reached crisis point in 2024; 77% said that it feels like a continual struggle to get the help their child needs; and 65% experience violent or aggressive behaviour from their child. I know that there are parents behind me in the Public Gallery who have experienced violence from their children this very week. And in Kinship’s 2024 survey, more than one in eight kinship carers expressed the fear that they might not be able to continue caring for their children.

Meanwhile, the British Association for Counselling and Psychotherapy has warned that these 40% cuts per child will have a

“negative and long-lasting impact.”

That seems to be putting it mildly. Families, providers, experts and children themselves all say the same thing—these cuts are devastating. It is not just the children and their families who will pay the price; the Treasury will, too. There will be placement breakdowns, more children in care, more exclusions, more antisocial behaviour and more long-term damage. All these things cost the state money. The cost of withdrawing support is far higher than the cost of sustaining it.

On top of the cuts there is the uncertainty, even with the extension announced today. Providers cannot plan and families are turned away. Experienced therapists have warned me that that will

“replicate the cycle of deprivation and abuse”

that these children have already suffered. What message do we send if we withdraw the one source of essential therapeutic support that children and families rely on?

[Edward Morello (West Dorset) (LD)]

I thank my hon. Friend for giving way, and for the passion with which she speaks about this subject.

I wanted to raise the case of my constituent, Jean, an adoptive mother who cared for a son who has foetal alcohol spectrum disorder, attention deficit hyperactivity disorder, autism and developmental trauma. I wanted to raise her case because, very sadly, Jean has died. Before she died, she had managed to arrange long-term support for her son. She obviously does not know it, but her son will lose that support in a year’s time. My question, on behalf of Jean and others in a similar situation, is this: what happens to her son, and to children in a similar situation, now?

[Alison Bennett]

My hon. Friend makes a profound contribution about how we treat the most vulnerable in our society. I do not think I have the answers to that question, but I thank him for raising it.

Adoption England has suggested reform to the fund. Devolving it to its regional agencies or local authorities is a possibility, but no consultation has taken place and pilots have not even begun. It would be reckless to make major structural changes before the evidence is in, and it would risk leaving children and families in deeper crisis. That is why we were particularly glad to hear this morning that the Department will engage with families and providers.

Charities such as Adoption UK, the Consortium of Voluntary Adoption Agencies UK, Coram, Kinship, Barnardo’s and the Family Rights Group are calling for urgent action. They are calling for, first, a permanent ringfenced fund; secondly, a comprehensive review of the April changes; thirdly, a full public consultation on any future reforms—the engagement promised must be meaningful; and fourthly, a two-year moratorium on further changes so that reforms can be evidence-based, not rushed. We should be supporting vulnerable children and encouraging adoptive parents to keep doing what they are doing by providing the necessary support for therapy—not least because in 2021 alone adoptive parents saved the UK economy £4.2 billion.

I will end with four questions for the Minister. First, what concrete reassurance can she give children, families and providers about the long-term future of the fund? April’s announcement came too late and caused avoidable harm, and today’s remains short term. Will the Government commit to doing better this time?

Secondly, can the Minister assure us that the equality impact assessment was considered as part of the development process for the changes made to the fund that were announced in April, as per the requirements of the Equality Act 2010? Will she undertake to share the relevant documents to support that?

Thirdly, can the Minister explain how the decision to cut funding available through the ASGSF aligns with the Department’s wider efforts to increase the uptake among eligible kinship families and grow the use of the kinship care arrangements?

Fourthly, will the Minister acknowledge that cutting the support will cost far more—socially, emotionally and financially to the taxpayer—in the years to come? The adoption and special guardianship support fund is a vital lifeline for vulnerable children and their adoptive families. It is not a luxury. The Government must change course.