CHILDREN AND YOUNGER ADULTS DEPARTMENT Version: 2011-2011 FINANCIAL SUPPORT SCHEME FOR ADOPTERS AND HOLDERS OF RESIDENCE OR SPECIAL GUARDIANSHIP ORDERS 1. Approval and Authorisation Completion of the following section signifies the review and approval of this process:- Name Job Title Date Authored by:- Peter Battram Planning & Project Manager Approved by:- Richard Corker Head Of Quality Assurance 26/06/2011 Authorised by:- Richard Corker Head of Quality Assurance 26/06/2011 2. Change History Version Date Reason Name Version: 26/06/2011 Review undertaken Richard Corker 2011 -
Version: 2011-1 What is the purpose of the scheme? The scheme exists to provide essential financial support to underpin permanence plans that have been approved by a Derbyshire Adoption or Permanence Panel or in the case of Residence Orders approval granted by the District Manager. 2 Principles underpinning the scheme Income maintenance is primarily provided through the universal state benefits system. Local Authority support under this scheme should be seen as essential top up payable for the duration of the order. Those seeking additional local authority financial assistance are required to undertake a welfare benefits assessment to identify those universal benefits to which they are entitled. Unlike universal state benefits, local authority financial support takes account of the prospective permanent carers financial means and circumstances. 3 Children eligible for local authority financial support under the scheme 3.1 Children subject to an Adoption Order The Adoption Regulations 2005 requires additional assistance to be made available for certain groups of children, without which permanent placements might be difficult or impossible to achieve. The Derbyshire Adoption and Permanence Panel will determine which children meet the threshold for additional support, including financial. Children for whom additional support is available will be within one of the following categories: of school age; a sibling group of 2 or more; from a black and ethnic minority background; have learning, physical or sensory disability or other identified condition which leads to significant additional carer tasks.
Version: 2011-3.2 Children subject to a Special Guardianship Order This order was introduced in the Adoption and Children Act 2002. The Special Guardianship Regulation 2005 set outs the arrangements under which a local authority must make arrangements for support including financial support of a child. The Derbyshire Adoption and Permanence Panel will determine which children meet the threshold for additional support, including financial. 3.3 Children subject to a Residence Order The Children Act 1989 introduced Residence Orders along with a discretionary power on local authorities to make payments towards the costs of maintenance and accommodation of a child subject to a Residence Order. In exercising this discretionary power financial support may be granted when: The local authority has been instrumental in setting up the placement, and Assessment determines that the child would otherwise need to be in care. The local District Manager will determine whether the threshold for financial support has been met. Final approval is granted by the Deputy Assistant Director. 4 Can an assessment for financial support be considered before children are placed? Financial certainty is an important part of planning for permanence. The social worker will suggest that a financial assessment form is completed at an appropriate point during the assessment process. At the same time carers will be asked to complete a form for a welfare benefits check. Those who are eligible for allowances and wish to receive them will be required to sign an undertaking to keep the authority notified of any changes that may affect their entitlement to receive allowances.
Version: 2011-5 How the Derbyshire scheme operates? The scheme recognises that children, and their prospective permanent carers, may have additional needs arising from their individual circumstances. These are identified as part of the permanence planning process and include: 5.1 Introductory grant to meet reasonable costs of travelling for introductory visits and the associated costs incurred (only applicable where adopters are undergoing introductions to children). Reasonable travel and associated costs incurred when undertaking introductory visits may be claimed for using the following guidelines: Mileage rate 16.4 pence per mile (1). Bus/rail fares may be claimed in full. Overnight accommodation (Based on average Travelodge rate). Breakfast - 6.11 per single adult, 12.22 per couple/family (1). Lunch - 10.42 per single adult, 20.84 per couple/family (1). (1) Local Authority Subsistence rates 5.2 Settling-in grant ** - help towards the cost of preparing and equipping the home ready for the child s arrival payable to adopters of children who attract an adoption allowance whether or not the adopters meet the financial criteria for an allowance. Also payable to adopters who would meet the financial criteria for an adoption allowance but whose child does not meet the criteria for an adoption allowance. 5.3 Contact costs * - help towards the costs of contact where arrangements are complex or a significant amount of travel is involved and costs are excessive. 5.4 Court costs * - the costs associated with making an application to court further information is available in the leaflet EX160A 'Court Fees do you have to pay them?' and at www.courtservice.gov.uk.
Version: 2011-5.5 Exceptional costs - these are, by their very nature, difficult to define but where carers are faced with exceptional costs to maintain the placement or to meet unforeseen needs, they may apply to the Adoption Support Service for help on 01629 532205. * Payable to all carers on request ** Subject to an assessment of carers means 6 Maintenance allowances (Subject to an assessment of carers means) Special Guardianship allowances are in line with Derbyshire fostering fees and allowances: Age range Amount 0 1 120.93 2 4 123.33 5 10 136.65 11 15 156.00 16+ 182.60 7 How is entitlement to financial support determined? Derbyshire County Council uses the Department for Education and Skills recommended standardised means test model for determining financial support to carers. The Application for allowances form and accompanying guidance (Appendix 1) set out the details of how an individual assessment is undertaken. The approach is as follows: The level of payment is means-tested and carers are required to produce evidence of their income and expenditure. Carers are expected to claim all universal benefits to which they are entitled. Carers are encouraged to take advice from the Derbyshire Welfare Rights Service. Financial support is subject to annual review.
Version: 2011 - Carers should notify any significant changes in circumstances between reviews any overpayment as a result of failure to notify a change of circumstances will be recovered. Payments are made directly to carers via BACS. 8 What if the carer is not assessed as eligible for allowances? If the application for allowances is unsuccessful and carers are unhappy with the decision they can submit a written request for the decision to be reviewed. In the case of Adoption and Special Guardianship Orders this review will be considered by the Adoption and Permanence Panel Advisor. In the case of Residence Orders the review will be considered by the Deputy Assistant Director (Safeguarding and Specialist Services). If the decision remains the same, carers can submit further information and ask for a re-assessment They may do this at any time when their circumstances have changed. The final decision maker is the Assistant Director for Safeguarding and Specialist Service. 9 When are grants and allowances payable? Grants are normally payable prior to placement but the arrangement will vary with the nature and purpose of the grant. Timescales will be agreed as part of the Adoption or Special Guardianship Support Plan or in the case of Residence Allowance within the report submitted to the District Manager. Allowances are payable from the date of placement and normally continue until the age of 18 or in the case of residence orders the expiry of the order. In the case of Adoption and Special Guardianship carers may apply for allowances to continue beyond 18 to allow a child to complete full time further education. Evidence of the course being undertaken may be requested.
Version: 2011 - Entitlement to allowances will cease if: The child leaves home carers must notify the authority immediately this happens and if the child is placed in a local authority boarding school or is cared for in health accommodation. The carers household income rises above the level at which they qualify for financial support. The child receives income in his or her own right employment, placement on a Government Training Scheme, Income Support or Jobseekers Allowance. 10 What if income or circumstances change? From April each year the rate of allowances are set for the coming financial year and carers are required to complete an annual financial assessment to determine whether they have a continuing entitlement to allowances. Carers are asked to complete a re-assessment in a timely manner those who do not return a completed assessment form may forfeit any entitlement to allowances. Payments will stop automatically if the assessment is not returned within 3 months of the forms being sent by the authority. Any over payment may be reclaimed by the Council. The assessment normally lasts until the end of the financial year but carers may request a re-assessment if their financial circumstances change. If there are significant changes in the household financial or overall circumstances once financial support has been agreed, or is being paid to you, then carers should contact the CAYA Placements Finance Team at County Hall. All changes in circumstances must be notified in writing. Smaller variations need not be notified until the annual re-assessment is due however discussion is advisable with the payments section.
Version: 2011-11 What if carers move from Derbyshire over the next few years Derbyshire County Council will continue to pay allowances subject to the assessment processes outlined above. However, if carers have an Adoption or Special Guardianship Order and do not live in Derbyshire, Derbyshire County Council will cease to be responsible for the provision of services after 3 years. Financial support will continue where there is a Special Guardianship Order and the decision to provide that financial support was made by Derbyshire County Council before the making of the order. Carers must apply to the new local authority, in the area they live for help with any new or additional needs that have arisen. If carers have a Residence Order, there is no automatic entitlement to support services. If carers leave Derbyshire they will continue to receive financial support but will need to ask for a Children in Need assessment in the new local authority area for any other services they may need. 12 Impact of grants and allowances on entitlement to state benefits The Social Security system does not distinguish between adoption, residence or special guardianship orders in the way that the benefit rules are set out. The position is set out in Appendix 3. Further advice on local authority payments can be obtained by contacting: The Fostering or Adoption Worker, or The CAYA Placements Finance Team: Janet Leedham or Julia Hall CAYA Placements Finance, County Hall, Matlock, DE4 3AG Tel: 01629 532117 Email: janet.leedham@derbyshire.gov.uk julia.hall@derbyshire.gov.uk
APPENDIX 2 Version: 2011 - ADDITIONAL INFORMATION FOR FOSTER CARERS CONSIDERING ADOPTION, SPECIAL GUARDIANSHIP OR RESIDENCE ORDERS 1. Introduction the scope of the information provided When a foster carer obtains parental responsibility for a child this should include taking some financial responsibility. 2. Children looked after by the Local Authority When children are looked after they become the financial responsibility of the local authority. Their foster carers cannot, therefore claim universal state benefits for them and receive fostering allowances for their maintenance. Upon the making of an order former foster carers can claim universal state benefits and will be entitled to ongoing maintenance allowance set out below. 3. Local Authority financial support to foster carers Financial support is available where the child has a permanence plan and the local authority considers such arrangements beneficial to the child s welfare and considers it necessary to ensure the carers can look after the child. Foster carers who request financial support will be subject to an assessment to determine the level of top-up payment, (after deduction of income from universal sources) required to maintain payments at the level of the fostering allowances. Foster carers will not be eligible for adoption grants but are eligible for a grant to cover court costs. Contact costs and other exceptional costs that may arise will be considered as part of the support plan. Any additional foster carer reward payments which in Derbyshire are known as Foster Plus, Children First or Contract Care can only continue for a period of 2 years following the making of an Adoption, Special Guardianship or Residence Order, unless. Payments will be adjusted over the two year period in order to assist the former foster carers in making the financial adjustment from fostering to the new legal status. There is provision in guidance for these allowances to be extended in exceptional circumstances. In most instances exceptional
Version: 2011 - circumstances apply to disabled children who tend to continue to cost their parents more than other children of their age. Foster carers are expected to claim all universal benefits to which they are entitled. Foster carers are encouraged to take advice from the Derbyshire Welfare Rights Service. Financial support is subject to annual review. Foster carers should notify any significant changes in circumstances between reviews any overpayment as a result of failure no notify a change of circumstances will be recovered. Additional foster carer allowances paid due to exceptional circumstances will be reviewed every two years. Professional advice will be sought (e.g. from a social work, doctor etc) to ascertain whether or not the exceptional circumstances continue to exist. 4. Advice on local authority payments can be obtained via The fostering or adoption worker, or The CAYA Placements Finance Team: Janet Leedham or Julia Hall CAYA Placements Finance, County Hall, Matlock, DE4 3AG Tel: 01629 532117 Email: janet.leedham@derbyshire.gov.uk julia.hall@derbyshire.gov.uk
APPENDIX 3 Version: 2011 - Information to carers on the impact of Adoption, Special Guardianship and Residence Order allowances on entitlement to state benefits This document gives advice about Social Security Benefits to families who have adopted a child or have a residence order for a child. The Social Security system does not distinguish between an adopted child and one for whom you have a residence or special guardianship order in the way that the benefit rules are set out. In this leaflet we refer to a child in either circumstance as a child that you are responsible for. Carers are encouraged to contact the Derbyshire Welfare Rights Service who can provide comprehensive advice on the full range of benefits and other help that is available through health, education or voluntary sector funding such as Disabled Facilities Grant or the Family Fund. Can I claim any benefits for the child I am responsible for? There are some Social Security benefits that you can claim for. Child Benefit You can claim Child Benefit for a child that you are responsible for just as you may do for any of your own children. Child Benefit is a set amount every year and is not affected by any other income you may have. The amount of Child Benefit is higher for the oldest child that you are claiming for but each family can only receive this higher rate for one child, all others are paid at the same, lower, rate. Child Tax Credit You can claim Child Tax Credit for a child that you are responsible for just as you may do for any of your own children. Child Tax Credit is means tested so the greater your family income the less Child Tax Credit you receive. Any Adoption Allowance or Residence Order Allowance that you may receive does not count as income in this means test so will not affect the amount of Child Tax Credit you get.
Version: 2011 - Disability Living Allowance (DLA) This is paid to people if they need help with personal care, or need supervision or watching over, or if they have difficulty with mobility. It can be paid to children as well as adults. When making a claim for a child under sixteen you will need to show that the child needs substantially more help or supervision than a child of the same age without a disability, or a different kind of help than that needed by a child of the same age without a disability. DLA has two parts to it a care component and a mobility component The Care Component This has three rates: i) The lower rate is paid to those who need help with personal care for about an hour of the day. It can also be paid to those over sixteen who are unable to prepare a main meal for themselves given all the ingredients. This cooking test looks at things like being able to use basic kitchen equipment such as a knife or peeler, lifting and bending, but also planning and carrying out the tasks safely. ii) iii) The middle rate is paid to those who need help with personal care on several occasions throughout the day, or who need help with personal care more than once, or for a prolonged period, during the night. The middle rate is also paid to those who need supervision throughout the day to avoid danger to themselves or others, or who need watching over at night. The higher rate is paid to those who need help with personal care during the day and night, or who need supervision or watching over during the day and night. If a person is terminally ill they will automatically be entitled to the higher rate of the care component if they apply for DLA. The Mobility Component This has two rates: i) The lower rate is paid to those who can walk but who need someone with them for guidance and supervision when they walking in unfamiliar areas. This could apply to someone with a visual impairment, or a learning disability or autism for example. ii) The higher rate is paid to those who are unable or virtually unable to walk because of a physical disability. When looking at whether someone is
Version: 2011 - virtually unable to walk you need to explain the overall picture because the Decision Maker has to consider not just how far a person can walk but also how long this takes them, including rest and recovery time, and the manner of walking e.g. limping or shuffling. The higher rate of mobility is also paid to those who are - deaf and blind, or - have lost both legs above the ankle, or - who are severely mentally impaired, - get the higher rate of DLA care component and who have behavioural problems. Whilst a disabled child is under sixteen any DLA will be paid to their carer, but once the young person turns sixteen it will be paid to them in their own right. How does being an Adoptive Parent, Special Guardianship or Residence Order Carer affect any benefits that I can receive? Statutory Adoption Pay This is paid by employers to employees who are adopting a child. To qualify for Statutory Adoption Pay (SAP) you must have been working for your employer for 26 weeks when you receive notice that you have been matched with a child for adoption, and your weekly earnings must have been at least the amount called the lower earnings limit for National Insurance. You can receive SAP for up to 26 weeks but the earliest date you can receive it is 14 days before you expect the child to be placed with you. To make your claim you need to give your employer at least 28 days notice, in writing, or as much notice as is reasonably practicable. If a couple are adopting a child only one of them can qualify for Statutory Adoption Pay, but the other could qualify for Statutory Paternity Pay. If two people are adopting two children they may both be able to take adoption leave one for each child. Your entitlement to Statutory Adoption Leave may be longer than your entitlement to Statutory Adoption Pay. Statutory Paternity Pay This is paid by employers and in the case of adoption can be claimed by either a man or a woman. To qualify for Statutory Paternity Pay (SPP) you must have been working for your employer for 26 weeks when you receive notice that you have been matched with a child for adoption, and you must continue to work for that same employer until the day the child is placed with you. Your weekly earnings during this time must have been at least the amount called the lower earnings limit for National Insurance.
Version: 2011 - You can receive SPP for two consecutive weeks although you can choose to receive it for only one. The earliest date you can receive it is the date of the child s adoption and the latest that SPP can be paid is 8 weeks after the adoption. To make your claim you need to give your employer at least 28 days notice, in writing, or as much notice as is reasonably practicable. You should indicate when you want your Statutory Paternity Pay to start and whether you want one week or two. There is a standard form produced by the Inland Revenue (SC4) that you can use to notify your employer. Your entitlement to Statutory Paternity Leave will be the same as your entitlement to Statutory Adoption Pay one or two weeks depending on which you have chosen to take. Income Support This is a means tested benefit paid to those under 60 who are not working full time, have an income and savings below a minimum level, and who are not required to be looking for full time work. People who are not required to be looking for work include: lone parents with a child under 16 those who are unable to work because of an illness or disability some carers, under certain circumstances single foster carers, caring for child under 16. In the means test for this benefit there is a savings limit of 16,000 If you work part time (must be under 16 hours a week to be able to claim Income Support) your wages will be taken into account when looking at how much Income Support you can receive. Income Support does not take into account the circumstances of any children in your family so any Adoption Allowance or Residence Order Allowance that you may receive is ignored.
Version: 2011 - Jobseeker s Allowance Jobseeker s Allowance is paid to those who are out of work and are signing on to say that they are available for work, actively seeking work, and capable of work. Jobseeker s Allowance (JSA) can be paid in two forms: contributory Jobseeker s Allowance is based on your National Insurance Contributions record and can be paid for up to six months. It is a set amount and is not means tested. Any allowance paid to you or your partner by Social Services will not affect your contributory JSA. income based Jobseeker s Allowance is a means tested benefit for those who cannot get contributory JSA or who qualify for additional income over and above contributory JSA. The amounts of income based JSA are the same as the amounts of Income Support, and the savings limit is 16,000, and as with Income Support any Social Services allowance paid to you or your partner will not affect your JSA. Incapacity Benefit For most people this is a contributory benefit based on your National Insurance contribution record, and who are not fit for work. It is not means tested but can be topped up by Income Support depending on your family circumstances. Any allowance from Social Services will not affect the amount of Incapacity Benefit you receive. In order to receive Incapacity Benefit you initially have to provide sick notes from your GP and then complete a questionnaire about your restrictions on working. You may also have to undergo a medical examination. Some people can receive Incapacity Benefit without having to have a National Insurance Contribution record, because they were incapacitated in youth. In this situation a claim needs to be made before you are 20 (or 25 if you have been in further/higher education). If you are responsible for a child who is not going to be able to work because of an illness or disability then they could claim Incapacity Benefit using this route once they are 16. You will need to talk to your child s Social Worker about this. Any benefit paid to a young person over the age of 16 will be taken into consideration when assessing your financial circumstances for an adoption allowance.
Working Tax Credit Version: 2011 - This is a means tested top up to those who are working but on a low wage. In order to receive Working Tax Credit you need to be working at least 16 hours a week. As with Child Tax Credit any Adoption Allowance or Special Guardianship, Residence Order Allowance that you receive will not count as income and so will not affect your Working Tax Credit calculation. Working Tax Credit is still means tested so other income, including you or your partner s wages etc, will be used to determine how much Working Tax Credit will be paid to you. Working Tax Credit can help with childcare costs, if you work over 16 hours a week. If you are a couple to get help with childcare you either both have to be working over 16 hours a week, or one of you is working and the other is unable to work because of illness or disability. For more information about the help that Working Tax Credit can provide with your childcare costs contact the Welfare Rights Service Benefits Helpline the number is at the end of this leaflet. Carer s Allowance This is paid to those who care for someone who is already receiving DLA care component at the middle or higher rate, or Attendance Allowance. You need to be caring for at least 35 hours a week, and if you are also working not have wages above the prescribed maximum level. (see appendix) A parent or carer can claim Carer s Allowance for caring for their child (if the child is on middle or higher rate care component of DLA), or for caring for someone else. Any allowance that the carer may receive does not affect or reduce the Carer s Allowance. Carer s Allowance cannot be paid to someone who is also receiving State Retirement Pension, Incapacity Benefit, or some other contributory benefits but sometimes you will be advised to make a claim to get the name only. This can help to get extra benefit from the means tested benefits of Income Support, Pension Credit, Housing Benefit and Council Tax Benefit through the Carer s Premium.
Version: 2011 - Housing Benefit and Council Tax Benefit Housing Benefit can help with rent payments (council, private landlord or housing association) and Council Tax Benefit can help with Council Tax bills for those on a low income who have savings under 16,000. If you are over 60 and on Guarantee Pension Credit this savings limit does not apply. If you receive an allowance from the Local Authority it is counted as income in a Housing Benefit and Council Tax Benefit calculation up to the value of the personal allowance and any disabled child premium that have been included in the calculation for that child. Anything above that level is ignored. The result of this is that although the calculation will appear to have taken the child into account it will make no difference to the amount of Housing or Council Tax Benefit that you receive. If you are over 60 any allowance is completely ignored in your Housing and Council Tax Benefit calculation. Pension Credit This is a means tested top-up benefit for those over 60, similar to Income Support. It does not take any account of children in the calculation and so will not be affected in any way by you adopting a child or becoming a Special Guardian or obtaining a Residence Order If carers need more information about Social Security Benefits and how these are affected by their role as an Adoptive Parent, Special Guardian or Residence Order Carer then contact should be made as below: The Welfare Rights Service Helpline: Monday - Friday 11.00 am - 4.30 pm Email: welfarerights@derbyshire.gov.uk Tel: 0845 120 2985 Please ask to speak to the Children and Families Team