One-off 2,000 grant gives care leavers head start, study finds

"The findings from the trial are encouraging, with consistent positive effects on participants' housing stability, wellbeing, social connectedness, contact with health services and other outcomes we measured. These results highlight the potential benefits of [cash transfers for vulnerable young people]."

"Leaving care, without a family safety net, has consistently been found to be associated with higher levels of homelessness, unemployment and crime. One participant, Aeryn Hill, said the £2,000 had made 'a big improvement' in her life as 'we don't get the opportunity to do things that other people do'."

"Those who received the money were: More likely to be in stable housing, Less likely to be sofa-surfing, Less likely to be arrested or have a criminal conviction, More likely to visit GPs or drop-in clinics, Less likely to have an overnight hospital stay."

A King's College London study examined the impact of a one-off £2,000 grant on 302 care leavers aged 18-25 from nine English local authorities. Half the participants randomly received the grant in June 2023, with follow-ups at six and twelve months. Recipients showed significantly better outcomes: increased stable housing, reduced sofa-surfing, fewer arrests and criminal convictions, and greater engagement with health services. They also reported 12% less spending on alcohol, tobacco, and drugs. Care leavers without family support typically face elevated risks of homelessness, unemployment, and crime. Recipients consistently reported higher well-being, optimism, and improved problem-solving abilities, demonstrating the grant's positive effects across multiple life domains.

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