Cost of Care and Redirection of Resources

Developing a high quality alternative care system requires adequate funding and resources. In countries that are working to reform their care systems, efforts are needed to redirect financing from residential care options towards new initiatives that support parents, prevent family separation, and provide children with a range of family and community based care alternatives.

Cost-benefit studies of different forms of alternative care demonstrate that it makes good economic sense for governments to invest in family based alternatives rather than residential care. While costs may increase for a temporary period as countries make the shift to family-based care – for example to fund training of social workers, develop social welfare services and establish tracing and foster programmes – in the long run it costs less than keeping children in institutions where funds are required to pay salaries for staff, maintain buildings and provide food and other services. The bottom line is that for the cost of keeping one child in residential care, many more girls and boys can be supported within families.

Funding for care reform involves allocating (or redirecting) resources from institutional care towards a range of family-based care services, investing in the development of a competent social welfare workforce, supporting carers, and providing financial and practical support to children leaving care. It also means investing in programmes that tackle the factors that lead to family separation and children being placed in alternative care – such as poverty, unemployment, disability, health and conflict. This could include promoting access to basic health, education and housing services, developing social protection and financial assistance initiatives, and working to strengthen families through parenting education or counselling.

Governments also need to make a commitment to putting in place licensing and regulation mechanisms to ensure that funding of care is motivated by children’s best interest rather than the financial benefit of the provider – and that resources are directed towards families rather than institutions. Unfortunately in many countries, there are vested interests in admitting or keeping children within formal care (particularly residential facilities) for profit-making, and large numbers of private care facilities operate outside the control of authorities.

The literature in this section focuses on budget and cost analysis pertaining to children’s care, including preventive services to support family based care and the provision of a range of alternative care options.

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Financial Analysis of Family-Type Care Services for Children with Disabilities

CCF Moldova, 01 Aug 2024

CCF Moldova conducted a comprehensive financial analysis of foster care services for children with disabilities to identify financial gaps for current foster carers and financial impediments that deter placement of children with disabilities in foster care. The report provides concrete recommendations to address gaps and cost implications of implementing new funding policies.

Receipt of Parenting, Disability, Unemployment, and Other Income Support Payments in Persons Aged 16 to 33 Years – The Associations with Child Maltreatment

Emmanuel S. Gnanamanickam , Leonie Segal , 11 Jul 2024

This study was based in Southern Australia and aimed to examine the association between child maltreatment and the receipt of income support payments and the budgetary impact for persons 16 to 33 years.

Costing the Changing the Way We Care Kafaalah and Case Management Scaling Models PowerPoint Slide Deck

Jushi Gitau, 01 Jul 2024

Costing-the-CTWWC-Kafaalah-and-CM-Scaling-Models-71------Read-Only.pptx

Case Management for Reintegration Costing Tool Template

Jushi Gitau, 01 Jul 2024

Copy-of-CTWWC-Kenya_Case-Management-Costing-Tool_Template.xlsx

Child Sponsorship and Transitioning Residential Care Services

Better Care Network, Transforming Children's Care Collaborative, Casa Viva, 30 Jun 2024

In this interview, BCN’s Senior Technical Advisor, Rebecca Nhep, speaks with Phil Aspegren, Founder of Casa Viva, about transitioning residential care services with child sponsorship funding models.

Redefining Aid: The Journey from Child Sponsorship to Community Empowerment

Helping Children Worldwide, 05 May 2024

Melody Curtis, Laura Horvath, Jared Scheppman, and Kelly Strong discuss the journey from traditional child sponsorship models to a new paradigm that champions community empowerment. They also tackle the ethical dilemmas and strategic decisions that are reshaping the way we support vulnerable children around the world.

Guidance on Developing County Investment Cases for Care Reform

Changing the Way We Care, 27 Feb 2024

The objective of this guidance is to provide a ‘how-to’ guide on developing a county-level investment case for care reform in Kenya.

Findings and Recommendations From Financial Assessments of Residential Institutions

Catholic Relief Services, 05 Dec 2023

Daniela Mamaliga, Director of Partnerships for Every Child, presents the findings and conclusions of a comprehensive 2022 financial assessment conducted by CTWWC in six residential institutions. The financial assessments aimed to inform political decisions on the future of the six institutions, including their transformation/reorganization plans. Ms. Mamaliga highlights that though the average annual cost for caring for a child is increasing in all six institutions, even as number of children and staff is decreasing in some of them.

Public Expenditure and Children's Care

Catholic Relief Services, 05 Dec 2023

Former World Bank Economist and President of Maestral International, Philip Goldman, makes a compelling, data-driven case for the need for a paradigm shift in how Moldova approaches the financing of care and protection of its children.

The Role of Social Services and the Importance of Investing in the Social Service Workforce

Catholic Relief Services, 05 Dec 2023

As an experienced social worker and practice lead at Social Work Scotland, Vivien Thomson shares valuable insights underscoring the importance of investing in the social service workforce to drive meaningful care reform. Drawing from lessons learned in Scotland's Getting it Right for Every Child (GIRFEC) policy framework, Ms. Thomson, illuminates the critical role of social workers and the need to empower them as the glue that holds together multi-agency teams.