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Contents

1. Introduction
2. Criteria for Payment of an Allowance
3. If an Allowance is Payable
4. Residence Order Allowance Rates
5. Payment and Review
6. Notifications

1. Introduction

Residence Allowances were introduced as part of the Children Act 1989 and the purpose of them was to enable a child to be legally cared for by another family where otherwise financial constraints would prevent this.

2. Criteria for Payment of an Allowance

Lincolnshire County Council will only pay residence order allowances in respect of children:

• Who immediately prior to the residence order being made, were Looked After by the Local Authority
• Where a child is subject to a Residence Order as part of a disposal of Care Proceedings
  
  and
• The local authority supports the placement of the child with the person(s) taking the residence order

3. If an Allowance is Payable

Once a decision has been made that an allowance is payable, you would be informed in writing of the details:

• How the decision was reached
• The amount of the allowance
• The date of the first payment
• The method and frequency of the payment
• The arrangements for review, variation and termination of the allowance
• Your responsibility to notify us of any changes in your circumstances or those of the child

You are asked to acknowledge the arrangements and either agree to them or ask for an appeal.

4. Residence Order Allowance Rates

An agreed amount of money may be payable to assist with setting up costs to care for the child. This would need to be approved by the local authority.

Residence order allowances are paid and vary according to the age of the child.  Financial support from Local Authorities must compliment and not duplicate financial support available through benefits and tax credits systems.

5. Payment and Review

Payment commences as from the date of the Residence order.

The allowance is reviewed annually and this is to determine that the allowance is still appropriate.

The Directorate will contact the family with the Residence Order Allowance to confirm that the arrangement is still in existence.

Lincolnshire County Council will review allowances payable and in order for allowances to continue up to 16 years of age and in certain circumstances post 16 and up to 19 years of age, you will need to confirm that the young person:

• Continues to reside full time in your care - up to 16 years
• Post 16 year olds continues to reside full time in your care and continue in full time education
• Is not in receipt of any benefits other that EMA for training/education in their own right.

If an overpayment has been made for example because it is found that the child is no longer resident, or for any other reason, the local authority will recover the overpayment.

The review form sent to families should state their liability to repay monies if they give false information or fail to notify the local authority of a significant change in circumstance.

Payment of the Residence Order Allowance will automatically end when:

• The child ceases to live with the family with the Residence Order
• Reaches 16 years of age and does not continue in full time education.

6. Notifications

The residence allowance is payable in respect of the child who is subject to a residence order who is resident with you. If your circumstances alter so that this is no longer the case you must notify Lincolnshire County Council of any significant changes in the family:

• The child ceases to have a home with them
• The child ceases full time education or training and commences employment
• The child qualifies for welfare benefits in his/her own right
• The child attains the age of 18 and is not in education or training
• Change of address
• The child dies
• There is a change in financial circumstances or the financial needs or resources of the child which may affect the amount of financial support payable to the adoptive parent

Where information has been given orally, the adoptive parents must confirm the information in writing within 7 days.

If there is an overpayment as a result of a failure to notify the council of a change in circumstances, then the council will recover this money.

End