Care Leaver Payment: consultation analysis

Executive summary

1. Between 3 November 2023 and 26 January 2024, the Scottish Government carried out a public consultation on its proposals to establish a Care Leaver Payment for young people leaving care in Scotland.

2. Altogether, the consultation received 70 responses – 37 from organisations and 33 from individuals. Just over half of the organisational responses (20 out of 37) came from public sector organisations, and a third (12 out of 37) came from third sector organisations. The remaining 5 organisations did not fit into either of these two main categories. They comprised three academic / research organisations and two professional bodies representing social workers in Scotland.

3. In addition, as part of the consultation, six engagement sessions – four online, and two face-to-face – were carried out to provide an opportunity for stakeholders to discuss their views. A total of 62 individuals participated in these sessions.

4. The following summary of the main points raised in the consultation takes account of the views expressed by both respondents and participants in the engagement sessions.

Main messages

5. Respondents largely supported the proposal to establish a Care Leaver Payment and thought it would help (to some extent) to reduce some of the financial barriers that care leavers can face when moving on from care.

6. A range of respondents agreed with the proposed eligibility criteria and age requirements for applicants. These respondents thought it made sense to focus the payment on care leavers, and to align the age criteria for receipt of the payment with those which apply to the provision of Continuing Care and Aftercare. However, it was very common for respondents to suggest that the proposed eligibility criteria and age requirements were too restrictive or that consideration should be given to extending eligibility for the payment to other groups. In particular, respondents thought all young people who had been looked after at home and / or who had been looked after away from home for any length of time before their 16^th birthday, should be eligible for the payment (or that further consideration should be given to extending eligibility to these groups).

7. Key recurring themes across all the consultation questions were the need for an inclusive and personalised approach to application and payment processes, the importance of providing support to applicants (before and after receipt of the payment) and ensuring that the payment does not affect the eligibility of care leavers for other benefits or financial support.

Name and purpose of the payment

8. Around half of respondents (49%) thought the proposed name of the payment (Care Leaver Payment) represented its purpose and intention, a similar proportion (43%) thought it somewhat did, and a small proportion (8%) thought it did not. Individuals were more likely than organisations to say the name of the payment did not represent its purpose and intention.

9. Respondents who thought the proposed name represented its purpose and intention saw the name as ‘clear’, ‘self-explanatory’ and ‘precise’. Those who thought the name did not represent its purpose and intention, or that it only somewhat did so, described it as ‘vague’ and ‘potentially stigmatising’. Some also said that it gives the impression that a person is ‘being paid to leave care’ and there were concerns that it might be perceived as an ‘incentive’ to leave care in situations where Continuing Care should be prioritised.

10. Some respondents commented that earlier proposals for the payment appeared to cover all young people with care experience, whereas the current proposal appeared to focus more narrowly on care leavers. Respondents who raised this point often said that they thought the payment should be available to all ‘care experienced’ people.

11. Around half of respondents (48%) thought the payment will be able to help reduce some of the financial barriers young people face when moving on from care into more independent living, 14% thought it will not, and the remaining 38% of respondents were unsure. Organisations were more likely to say they were unsure than to agree, and individuals were more likely than organisations to say the payment cannot fulfil its purpose of reducing some of the financial barriers young people face when moving on from care.

12. Respondents thought the extent to which the payment is able to fulfil its purpose would depend on (i) providing guidance, support, and advice alongside any financial payment and (ii) providing a wider range of financial support to young people with care experience.

Eligibility criteria

13. There were two main views in relation to the proposed eligibility criteria and age requirements for the Care Leaver Payment. One group of respondents (the smaller of the two) were generally satisfied that the eligibility criteria and age requirements set out in the consultation paper were appropriate. The second (larger) group thought the criteria set out in the consultation paper were too restrictive and consideration should be given to expanding the criteria to include a wider range of young people.

14. Suggestions from the latter group included making the payment available to (i) all young people with care experience, (ii) those who were looked after at home, (iii) those who were adopted, (iv) all those in informal kinship care (not just those with a Kinship Care Order), and (v) unaccompanied asylum-seeking children. There was also a widespread view that young people who had left care before the age of 16 should be eligible.

Payment amount and processes

15. In general, respondents thought the proposed single lump sum payment of £2,000 was preferable to the original proposal of £200 annual payments over a period of 10 years. They also thought a one-off lump sum payment would be easier to administer. Less often, respondents expressed reservations about the revised approach, saying that a lump sum of £2,000 may not be spent appropriately by some young people and / or would put them at risk of financial exploitation. These respondents generally favoured the original proposal.

16. Regardless of whether they supported or disagreed with the proposal, respondents highlighted concerns that (i) some young people may find it difficult to manage such a large sum of money, (ii) some may be put at risk (due to addiction problems, or the potential for financial exploitation), and (iii) a large payment could have a negative impact on care leavers’ eligibility for and access to other financial support.

17. Notwithstanding these concerns, the great majority of respondents thought the payment would be helpful – 37% thought it would be ‘very helpful’, 25% thought it would be ‘helpful’, and 30% thought it would be ‘somewhat helpful’. Just 8% thought it would be ‘not at all helpful’. Respondents argued that the extent to which the Care Leaver Payment is helpful would depend on a number of factors, including (i) clearly defined parameters for its use, (ii) support being provided to help young people budget and manage the money, (iii) the relationship between the Care Leaver Payment and other financial support given to care leavers, (iv) other existing financial entitlements not being reduced or withdrawn, and (v) the young person’s circumstances at the point of moving on from care.

18. A large majority of respondents, 85%, thought it would be beneficial for care leavers to have a choice in how their payment is made, 6% thought it would not be beneficial, and 9% were unsure. A recurring view among those who thought it would be beneficial for care leavers to have a choice was that the payment should be made in a way that suits each young person’s circumstances and needs. Some in this group referred to Article 12 of the United Nations Convention on the Rights of the Child which states that children have the right to express their views freely in all matters affecting them and that these views should be given due weight in decision-making. Respondents who did not think it would be beneficial to give young people a choice, or who were unsure, thought it could be too complicated administratively to do this.

19. In relation to the timing of the payment, around a third of respondents (34%) said it would be most helpful for care leavers to receive the payment in preparation of moving on, 11% thought it should be received at the point of moving on, and 10% thought it should be received within 12 or 18 months of moving on. However, 44% of respondents did not favour any of these timing options. The most common view among this group was that the payment should be given to young people at a time of their choosing.

Application process and support

20. A range of respondents did not agree that there should be an ‘application process’ of any kind for a Care Leaver Payment. Rather, they said that anyone who was eligible should simply receive the payment automatically at the point at which they were leaving care. It was thought that responsibility for identifying eligible recipients should lie with the local authority and, in particular, with social workers, key workers or other professionals who were involved with the young person.

21. Respondents emphasised the importance of involving young people in the design of the application process – particularly those with care experience and those most likely to face barriers in applying. Respondents thought any application process should be person-centred, straightforward and non-stigmatising.

22. There was virtually unanimous agreement that young people should have support to apply for a Care Leaver Payment. Respondents identified three main areas for which support would be required, namely (i) assistance with accessing (potentially) an online portal, (ii) assistance with navigating the system, and (iii) assistance with completing the form / application including identifying and accessing any supplementary information required to support an application.

Applicant income and eligibility for other financial support

23. There was virtually unanimous support for the proposals that (i) an individual’s income should have no impact on their eligibility for the Care Leaver Payment and (ii) the receipt of a Care Leaver Payment should not negatively impact entitlement to other support.

Impacts of the payment

24. Respondents suggested that the Care Leaver Payment would potentially have positive impacts in relation to (i) securing and furnishing accommodation, (ii) meeting daily living expenses, (iii) undertaking education and training, (iv) preparing for employment, (v) improving wellbeing and establishing and maintaining social connections, and (vi) fulfilling any other aspirations that care leavers may have. More generally, some said that the Care Leaver Payment would help reduce the stigma associated with having care experience, enabling care leavers to live like their peers who are not care experienced.

25. Respondents also identified possible negative impacts. The two most common were that some young people (i) may spend their payments in ‘unsafe’ ways, putting themselves at risk of harm (for example, through drug or alcohol use or gambling), or (ii) may be financially exploited. There were also concerns that young people may spend the money ‘recklessly’ and ‘have nothing to show for it’ which could have a knock-on negative effect on their pride, sense of achievement and self-esteem.

Support for payment recipients

26. Respondents described the characteristics of the type of support a young person might need once they have received a Care Leaver Payment. They thought the support available should be well-signposted, personalised, flexible, easy to access, consistent across all geographic areas, and available for as long as necessary. They also discussed the content of the support young people may need, including advice and guidance in relation to (i) budgeting, (ii) setting up and managing a bank account, (iii) identifying rights and entitlements in relation to benefits and other financial support, (iv) decision-making and prioritising, and (v) minimising the risk of being financially exploited.

27. There was a commonly expressed view that support for payment recipients should be provided in a way that best suited the specific individual.

Awareness and publicity

28. Respondents offered a range of suggestions for ways of informing care leavers about their eligibility and entitlement for a Care Leaver Payment. Comments mainly focused on organisations that could assist with this – including local authorities, care providers, employment services, advice services, etc. – and methods of communication that might be used, such as social media, podcasts, billboards, leaflets, TV, radio, etc. Respondents also thought it would be useful to learn from other successful initiatives.

Other issues and the need for other financial assistance for care experienced people

29. Three main additional issues in relation the development and delivery of the Care Leaver Payment were raised, namely (i) practical issues in relation to making the payment (e.g. many young people do not have bank accounts), (ii) the need to ensure adequate support and funding is in place for the organisation(s) responsible for administering the payment, and (iii) the importance of monitoring and evaluating the impact of the payment.

30. Respondents also identified other types of financial assistance young people with care experience may benefit from in the future. This included assistance with day-to-day living costs, employment-related costs, technology-related costs, housing costs and childcare costs. There were also suggestions that financial support should be provided to care leavers beyond the age of 26 and that the Care Leaver Payment should be made available retrospectively to all those who have left care since 2020 – when the commitment to the payment was first made by the Scottish Government.