Foster carers employed by Devon County Council are set to receive a pay rise of less than two per cent from next month. 

The council’s ruling cabinet is being recommended to approve the 1.75 per cent uplift when it meets later in the month. It would be the first increase since 2019. 

But the planned offer is significantly lower than inflation, which currently stands at 10.1 per cent and may increase further in the months ahead, though it is now thought unlikely to peak as high as previously forecast after the government intervened on soaring energy bills. 

Foster carers can choose whether they apply to foster for a local authority or an independent fostering agency (IFA) to have children placed in their care. Both are regulated by Ofsted. 

At present Devon County Council’s foster carers are paid a standard weekly allowance of £329.10, which includes an element for attending training and support groups. A further £90 or £160 may be paid if the child has additional needs. 

The pay structure was introduced in January 2019 and the allowances have not been revised since then. 

According to a council report, the rates are lower than those of two local IFAs who pay carers standard allowances of between £400 and £435 per week, rising to as much as £600 with additional payments. 

Currently, the average weekly cost to the county council for a fostering placement with these providers is £971, which it says ‘reflects the full commercial business cost for the organisation’. 

While it says IFAs provide ‘valuable flexibility’ and a ‘valuable service’, the report to Devon’s cabinet explains how the council is ‘committed to increasing the number of in-house carers’ which it hopes will reduce reliance on independent providers and reduce costs. 

Officers are therefore proposing a rise of 1.75 per cent for foster carers and special guardians, in line with the public sector uplift for 2021/22, starting on 1 October. 

The financial impact for the rest of the financial year is £136,000. Any further increase will be considered as part of the council’s medium-term financial strategy for 2023/24. 

Devon’s cabinet, as well as the opposition leaders, will debate the proposal on Monday 26 September, a rescheduled date following the death of the queen.