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Options and financial considerations for family and friends carers


Children on care ordersChildren being cared for under a child arrangements order (CAO)Children being cared for under a special guardianship order (SGO)
Who has parental responsibility (PR)?The Local Authority (LA), mother, father or anyone else who has acquired PR through the courts. The PR may be shared with the LA.Carers who have gained a CAO through the courts. The order may have been done with the agreement of the parents. This may be shared with the mother, father and/or anyone else who may have PR.Carers with an SGO have almost total PR. The only exceptions where birth parents would need to be consulted would be major decisions such as adoption, change of religion and/or moving abroad for more than three months.
Who can make a decision on behalf of the child?Carers can make day-to-day decisions. However, important decisions such as taking a child abroad must be done in conjunction with the LA. A carer would need an order to allow permission for, for example, medical treatment.Carers with a CAO can make decisions on behalf of the child. As there may be shared PR with this order, the other party would have to be consulted on major decisions such as medical treatment or religion.Carers with an SGO can make all decisions without consulting other parties apart from major decisions such as adoption, change of religion or moving abroad for more than three months.
Is the child classed as a ‘looked-after’ child?YesNoNo
Are statutory visits required? (these are visits made by a social worker)YesNo – because the child is no longer considered to be, or hasn’t been, a looked-after child (LAC).No – because the child is no longer considered to be, or hasn’t been, an LAC.
Can the child be removed from me?Yes as you may be
considered to be the
same as a normal foster carer by social services.
Not unless the LA
gains an Emergency Protection Order EPO) or Care Order (CO) or the CAO is revoked.
Not unless the SGO is
revoked or there is an
EPO or CO on the child by the LA.
Can I take the child out of the UK?Only with the consent of all parties who have PR and only up to one month unless you have the permission of the court.Yes, for up to one month otherwise consent from all parties who share PR would have to be obtained or granted leave by the court.Yes, for up to three months otherwise consent from all parties who share PR would have to be obtained or granted leave by the court.
Can carers appoint a guardian?PR is usually shared with parents and they can appoint a guardian. Advice would need to be taken as to when this could take place.A carer with a CAO has no legal right to appoint a guardian as PR is usually shared. The parents (if they share PR) are allowed to appoint a guardian. Advice would need to be taken as to when this could take place.Carers with an SGO are entitled to appoint a guardian as they have almost total PR. Advice would need to be taken.
Can I claim Child Benefit?No. A carer should be paid an allowance that reflects this and includes the amount.Yes, you are entitled to claim Child Benefit. A claim should be made because, without doing so, Tax Credits cannot be accessed. The amount of Child Benefit may be deducted from any allowance received from the LA.Yes, you can claim Child Benefit if you have an SGO. Tell them you have it when you apply. You may be asked for SGO paperwork. Please note that if the birth parents were claiming Child Benefit prior to you obtaining the SGO, they will be entitled to claim it for eight weeks prior to you obtaining it.
Can I claim Child Tax Credit?NoYesYes
Can I claim Working Tax Credit?Yes, as an allowance received is classed as income subject to HMRC rules. Visit GOV.UK – becoming a foster parentYesYes
Can I claim Disability Living Allowance (DLA) on behalf of the child?Applications for DLA on behalf of the foster child should be done so within
the care plan and with the knowledge of the social worker and parents.
YesYes
Is the allowance that I receive from the LA counted as income when claiming Child or Working Tax Credits or benefits?The allowance is classed as income. Whilst there are certain tax exemptions, it would still need to be declared.NoNo
Is DLA for the child counted as income when claiming Child or Working Tax Credits or benefits?No (if you are entitled to claim) as it is for the benefit of the child.No. However, it is advisable to mention it when you are claiming as it increases the amount you are entitled to receive.No. However, it is advisable to mention it when you are claiming as it increases the amount you are entitled to receive.
Is my housing or Council Tax affected by receiving an allowance?Yes as the allowance is counted as income.NoNo
What happens to the Child Trust Fund?Control would remain with the LA or parents as the child may only be in your care for a short period of time.As holder of a CAO you can apply to have it changed and also where it is placed but it still remains the child’s investment.As holder of an SGO, you can apply to have it changed and also where it is placed but it still remains the child’s investment.
Is the child entitled to LAC status for school admissions?Yes, and they will still be considered ‘looked after’ (LAC) whilst in your care.Yes, if they were considered ‘looked after’ before coming to you.Yes, if they were considered ‘looked after’ before coming to you.
Can the school claim pupil premium from the government?Yes, the child is considered an LAC.Yes, if the child in your care was considered as an LAC before coming to
you. This may already be highlighted if the child in your care receives free school meals however, if you have to pay for school meals, you will have to highlight the status of your child so that the school can submit a claim.
Yes, if the child in your care was considered as an LAC before coming to you. This may already be highlighted if the child in your care receives free school meals however, if you have to pay for school meals, you will have to highlight the status of your child so that the school can submit a claim.
Is the child in my care entitled to free school meals?Foster children will not usually receive free school meals as this is included in the allowance.Free school meals are based on income. However, if the birth parents are on benefits or income support and you have their permission, you can claim free school meals as it is based on the income of the parents.Free school meals are based on income. However, if the birth parents are on benefits or income support and you have their permission, you can claim free school meals as it is based on the income of the parents.
Legally, am I financially responsible for the child in my care?No, as the parents are still financially responsible for the child.No, although through the term of the CAO, your finances will be taken into account whilst claiming means-tested allowances.No, although through the term of the SGO, your finances will be taken into account whilst claiming means-tested allowances.
Are regular ‘looked-after’ medicals required for the child in my
care?
Yes, as they are still considered an LAC.No, as they are no longer considered an LAC.No, as they are no longer considered an LAC.
Are regular ‘looked-after’ reviews required for the child in my
care?
Yes, these are a statutory requirement.No, as they are no longer considered an LAC.No, as they are no longer considered an LAC.
Are regular Personal Educational Plans required for the child in my care?Yes and if there is a change in placement, there should be a review within 10 days.No, as they are no longer considered an LAC.No, as they are no longer considered an LAC.

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