Are you raising a grandchild? Support for kinship carers, plus practical ways to keep costs down

Across the UK, thousands of grandparents, aunts, uncles and close family friends are stepping in to raise children when their parents are unable to care for them full-time. If a child is living with you, you may be what’s known as a kinship carer.

What is a kinship carer?

Kinship carers are family members or friends who provide a loving, stable home to children whose parents cannot look after them for a range of reasons.

They are often:

• grandparents
• aunts and uncles
• older siblings
• close family friends

Many of these children have experienced trauma and, without this support, might otherwise enter the care system.

Unlike foster carers or adoptive parents, kinship carers have not always received consistent financial support, despite playing a vital role in keeping families together.

What’s changing?

The government has recognised the important role kinship carers play and is now trialling a new financial allowance.

Backed by £126m, the pilot aims to support around 5,000 children by providing eligible kinship carers with funding per child equivalent to what foster carers receive.

Kinship zones

Announced on 27 February, the pilot will launch in seven local authority areas, known as ‘kinship zones’. The trial will run for up to three and a half years, with possible expansion following evaluation.

The confirmed kinship zone local authorities are:

• Bexley (Greater London)
• Bolton (North West)
• Newcastle (North East)
• North East Lincolnshire (East Midlands)
• Medway (South East)
• Thurrock (East of England)
• Wiltshire (South West)

Each area will receive funding and tailored support to meet local needs. Any savings made by local authorities through the pilot will be redirected into additional support for family networks.

If you live in one of these areas, it may be worth contacting your local authority to see whether you’re eligible.

Looking after grandkids? Practical ways to keep costs down

Whether you’re a full-time kinship carer or regularly caring for grandchildren, costs can quickly add up.

Here are some simple ways to manage expenses while still creating meaningful experiences together.

Make the most of free and low-cost activities

• Visit public libraries, local parks and community centres for free activities.
• Join parent-and-toddler groups for affordable social interaction.
• Try home-based activities such as arts and crafts, baking or gardening.
• Take your own food and drinks on days out to avoid expensive snacks.

Shop smart

• Buy toys, books and clothes second-hand from charity shops or online marketplaces.
• Look for two-for-one deals, discount days and membership schemes for attractions.
• Batch cook meals instead of relying on takeaways or convenience foods.

Share the load

• Connect with other grandparents or carers to arrange shared playdates.
• Share transport costs for outings.
• Consider staying at your grandchild’s home occasionally to reduce travel and utility costs.

Protect your own finances

• Set clear boundaries with both grandchildren and their parents about what you can afford.
• Create a simple monthly budget to ensure you’re not neglecting your own needs or long-term financial security.
• Give our budget planner a try - it’s free and easy to use.

Stepping in to care for a child is an extraordinary act of love and commitment. With the right support, and careful financial planning, you can continue providing stability and security without putting your own wellbeing at risk.