Teenage care leavers risk destitution

Children leaving care are being failed by the very people who should be helping them.

Large numbers of young people leaving care are having their benefits stopped, pushing many into debt and destitution, new research has revealed.

The Children’s Society’s report, The Cost of Being Care-Free, found that 4,000 benefit sanctions have been applied to young people who left care in the last two years, making them at least three times more likely to have their benefits stopped than the general population.

This is leaving them in a desperate situation with no money and unable to afford the basics, including food – and leaves them open to all sorts of risks.

In addition, over 4,000 young people who left care missed out on crucial financial education, as almost half of the local authorities in England are failing to offer young people leaving care financial education and debt advice.

As a result, many do not know how to pay bills, manage their money and can not open a bank account or plan financially for the long-term.

This is leaving these vulnerable young people unprepared for the realities of adult life and puts them at risk of falling into debt and becoming homeless.

Care leavers are eligible for a range of benefits, including Housing Benefit, Jobseeker’s Allowance and Universal Credit, but if they fail to meet benefit regulations, if they are late for a meeting at the job centre or do not update their CV, for example, they can be sanctioned and have – vital – benefits – money – stopped.

And since many do not know that they can challenge these sanctions, they are much less likely than other groups to appeal a decision.

But The Children’s Society found that out of the few who did appeal, over 60 per cent of the decisions were overturned, more than for any other group – showing the sanctions were wrongly applied in the first place.

The government has, it says, committed to doing more to support young people leaving care.

But it must make sure that they get the help and support they need in order to claim what they are entitled to and to challenge poor decisions made against them.

And all children in care should also get financial education throughout their childhood, including as they prepare to leave care so they learn how to manage their money.

Matthew Reed, chief executive of The Children’s Society, said: “It is unacceptable that children leaving care are being failed by the very people who should be helping them.

“We see from our work the damaging effect this has as care leavers are going without food and other basic necessities because their benefits have been stopped.

“This must change.

“These young people lack the safety net provided by family that most children get as they become adults.

“It is the local authority’s responsibility to act as a responsible parent and make sure these children know how to manage their money and are able to live independently as adults.

“Government at every level needs to do more to make sure these young people do not fall into problem debt.”

To read the full report, click here.