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Foster carers in Victoria say they have been "blindsided" by sudden reduced allowances for children with complex needs, despite the government insisting no cuts have been made. The Foster Care Association of Victoria (FCAV) said some of its members had reported significant reductions in allowances, with payments for children with complex needs dropping down to base payment rates. CEO Samantha Hauge said reduced payments risked a further decline in the number of carers able to support children with high-level needs. "Some of the [payment] reviews we're hearing from carers are leaving them blindsided and … feeling undervalued and confused and really questioning whether they can continue with that particular placement," she said. Some carers have reported allowance reductions from levels four and five — designed for children with complex behavioural, medical, developmental, or emotional needs — down to base level one. But the state government said it had not made any changes to foster care allowance budgets or payments. "The payments that are provided to our foster and kinship carers are based on the age and the special needs of the child, and they have not changed," Health Minister Mary-Anne Thomas said. Ms Thomas did not address why some children's needs had seemingly been downgraded, which could trigger lower payments to carers. "In Victoria we have one of the lowest rates of children in residential care because of the work of so many foster and kinship carers," she said. 'Broken promise' Mary, whose name has been changed to protect her privacy, has been a carer for four years. She said she had been told her foster care allowance was under review. Mary currently receives about $1,800 per fortnight for a level-five care allowance, to assist with the care of 12-year-old Emily, whose name has also been changed. "About six months ago, I had a community service organisation call me to say that there will be a review of my payment to make sure that I — and using their words — 'am not just doing fostering for the money,'" she said. "When that comment was made, I saw red because if I wanted to do fostering for money, this sounds really awful, but you wouldn't choose a child that has such dysregulated and intense emotional needs. "Emily can present [as] violent, aggressive, she can make accusations, she can spit at you and push you up against the wall, if I was in it for the money I don't think I would do it for that very reason." Mary said she had been told changes to her payment level were "pending". If reduced to level one, her allowance would drop to about $520 per fortnight. Mary has not reached out directly to the Department of Families, Fairness and Housing, but has been working with the FCAV. She said each time the phone rang, she worried it would be a call to say her allowance was going back to level one. She said there has been no communication about why the levels may change, and from her perspective, Emily's needs had not changed. "It's also the broken promise, it was DFFH who offered this to me … they said because of Emily's psychological needs we will pay you level five — you don't enter [a] deal and then just renege without any understanding or discussion," she said. Another carer told the ABC she provided respite care for a 12-year-old boy several nights a week. She said her allowance had recently dropped from level 5 to level one — a difference of around $100 a day — "without any notice or discussion". She said she only became aware of the change when she opened her fortnightly payment documents. No policy changes In Victoria, foster carers receive a fortnightly payment, which is indexed annually, to contribute towards day-to-day caring costs. Ms Hauge said the payments were barely keeping up. "Our very low care allowance nowhere near meets the cost of caring for a child, and that shortfall places enormous financial pressure on carers and … I believe it's driving many to leave the system," she said. "It's not even keeping pace with inflation." Ms Hague said Victoria had recorded a net loss of more than 1,300 foster carers over the last four years, and that Victoria was "the outlier" in Australia. She said the payment levels were based on "a matrix system" determined by the government, which was not shared with the public or care advocates. A Victorian government spokesperson said care allowance levels varied based on the age and needs of the child and could be reassessed as a child's needs changed. Premier Jacinta Allan said her government would continue to support those caring for some of the state's most vulnerable children. "I am advised there has been no change to the policy settings … and there certainly has not been any reduction to the budget," she said. Active foster carer households in Victoria dropped by nine per cent to 1,546 in March, according to the Foster Care Association. "I don't think that the policy is being applied in a fair, open, transparent way, and I think that does require further review," Ms Hague said.
