Fostering Allowances 2025/26 Explained: London, South East and Rest of England

Thinking about fostering (or already approved) and trying to work out what you’ll actually receive each week in 2025/26? Here’s the plain-English guide to how the national minimum fostering allowance (NMA) works in England, what extras you can claim, and how many agencies pay more than the minimum.

At a glance: the government updates the minimum weekly allowance every April. For the tax year 6 April 2025 to 5 April 2026, the rates differ by the child’s age and where you live (London, South East, or Rest of England). Remember, this allowance is there to cover the child’s day-to-day costs (food, clothes, utilities, activities). It’s separate from any fee or skill payment you may receive from your local authority (LA) or independent fostering agency (IFA).

Minimum weekly rates by age and region (2025/26)

These are the national minimum amounts agencies must at least cover as the maintenance allowance for each child placed with you:

These figures apply from 6 April 2025 to 5 April 2026 and are published by GOV.UK; the NMA is reviewed and uplifted each April.

What changed for 2025/26

The government applied an uplift to England’s NMA for 2025/26 (on top of last year’s increase), reflecting cost-of-living pressures. Sector bodies summarised this as a 3.55% increase year-on-year for England. That’s why you’ll see slightly higher numbers than in 2024/25.

How to read the table

• Age bands reflect typical costs: older children and teens need more for food, clothes, travel, phones, social life, and independence.
• Regional bands reflect higher living costs in London and the South East.
• The NMA is the maintenance element. Many carers also receive a fee/skill payment on top (see “How agencies top up the minimum”).

A quick example

If you live in Hounslow (London) and have a 14-year-old placed with you, the minimum maintenance element is £257 per week for 2025/26. Your total weekly pay may be higher once any agency fee and extras (mileage, birthdays, etc.) are added.

Extras: birthdays, holidays, mileage & equipment

Beyond the weekly maintenance allowance, most fostering services cover essential extras and reimbursable costs so you’re not out of pocket. Typical categories include:

Birthdays and festivals

LAs commonly offer birthday and festival allowances. A typical policy might be £50–£100 depending on age—for example, one London borough pays £50 for ages 0–2, £100 for 3–18 at birthdays and main festivals. This is designed so fostered children can be celebrated in the same way as any other child. (Policies vary by council—check your handbook.)

Holidays, trips and passports

Expect a holiday contribution (e.g., a flat amount per year), plus help with passports/ID, visas (where appropriate), and insurance if you’re travelling. The size and process differ by LA/agency, but they’re intended to ensure children can take part in ordinary family holidays. (Always confirm permission and care plans for travel.)

School, clothing and equipment

Most services contribute to school uniform, winter coats/shoes, and equipment such as cots, car seats or desks. You may be asked to keep receipts and seek pre-approval for bigger items—your supervising social worker (SSW) will guide you.

Mileage and transport

Mileage for contact, school runs and health appointments is commonly reimbursed at a per-mile rate (or actual cost if using public transport). Keep a simple log: date, purpose, start/end mileage, total miles—submit monthly with any tickets/receipts.

Training, support and respite

Your agency should fund your mandatory training and offer access to support groups, out-of-hours advice and respite. If you take a respite break, check how your allowance/fees behave during those weeks.

How agencies top up the minimum (examples)

The NMA is the floor, not the ceiling. Many fostering services add fees (sometimes called skill payments) to recognise the professional role of carers, and they may pay enhanced rates for complex needs, solo placements or parent & child (P&C) assessments.

Local authority examples

• Thurrock (Care Skills+) publishes a clear structure where the total weekly payment for higher-needs placements ranges roughly £451–£549, with a defined reward payment element (around £250 per week) on top of the child’s allowance. This illustrates how LAs stack allowance + fee to reach a total.
• Staffordshire shows how an LA will pay at least the DfE minimum allowance and then add a weekly fee at certain levels—again demonstrating the two-part structure many carers see on their remittance.

Independent fostering agency (IFA) examples

• Some IFAs advertise standard totals well above the NMA (because they include a professional fee). For instance, one national provider states typical ranges £454–£860.88 per week, with an “over-5s standard rate” quoted at ~£501 per week—these figures combine the child’s allowance with the agency fee. (Each agency’s scale and criteria differ.)
• City services also publish case studies showing how skill level and needs change the package. One example outlines a Level 3 carer with two teens receiving a combined weekly payment where the allowance, skill fee and specific needs uplifts all stack into the final total.

Why totals vary so much

• Market differences: Some areas have acute placement shortages, so packages can be higher to recruit/retain carers.
• Needs-based uplifts: Solo placements, therapeutic or disability fostering often carry enhanced fees.
• Experience & training: Completion of specific training or years of experience can move you up a skill band.
• Contract terms: Retainers, cancellation payments, and respite arrangements affect your annual take-home.

Key point: Under England’s National Minimum Standards, carers should not be left out of pocket. You should receive at least the weekly NMA plus agreed expenses to cover the full cost of caring for each child.

Quick notes on tax (Qualifying Care Relief)

Most foster carers use Qualifying Care Relief (QCR)—a simplified HMRC scheme that treats a large portion of fostering income as tax-free, combining a fixed annual amount with an additional weekly amount per child. HMRC confirmed that from 2024/25 onward, QCR rates increase annually with CPI. Check the current year’s HMRC page before filing, and keep a simple log of placements and weeks to make self-assessment painless.

Kinship allowance pilot: how it relates to the NMA

If you follow kinship policy developments, note that the Kinship Allowance Pilot (rolling out in selected areas) is designed so that payments to eligible kinship carers are at least in line with the fostering NMA—i.e., anchored to the same minimums shown above, with details varying by age and location. It’s not means-tested within the pilot.

FAQs

Is the allowance the same as “what I get paid”?
Not quite. The allowance is the child’s living-costs budget. Your total weekly “pay” often equals allowance + fee, plus reimbursed extras like mileage or birthday/holiday contributions.

Do these England rates apply in Wales, Scotland or Northern Ireland?
No—each nation sets its own approach. This article covers England. If you’re near the border or considering a move, compare nation-specific guidance on official sites.

How do I know which regional band I’m in?
Agencies assign the band (London, South East, Rest of England) based on your address and their policy. If you live on a boundary, ask your SSW to confirm which band applies to you.

When do these rates change?
The NMA is reviewed every April. If you’re reading this late in the tax year, check for any updated table before budgeting.