Leaving care and looked after children finance handbook

Young people in work

16 and 17-year-olds:

Living Allowance: You’ll receive a living allowance of £60 per week if you’re eligible or relevant, regardless of employment status. This is to help you to pay for your basic expenses like food, clothing and daily needs.
If you are ARE, you will receive a living allowance of £40 per week.

Rent: If you’re 16 or 17 and must pay rent, we will cover this cost since you can’t claim housing benefit until you turn 18. Your earnings won’t affect these rent payments.
Note: normally, we don't pay rent for young people unless the corporate parenting manager agrees.

18 years and older:

Earnings and benefits: If you’re working but earning a low wage, you might be able to claim universal credit. This is a means-tested benefit, which means the amount you get depends on how much you earn.

Your universal credit payment will go down by £55pm for every £1 you earn. Your leaving care worker can help you contact the Department for Work and Pension (DWP) to find out what you can claim.

You can find out more by looking at the DWPs website too