The economics of supporting young people leaving care

1. The economics of supporting young people leaving care Coleen Clare Centre for Excellence in Child and Family Welfare Melbourne

2. Successful entry into secondary school Continuation of academic trajectory Close within and across gender relationships Extra-curricular activities Part-time work Autonomy and independence Self esteem Children’s developmental needs - adolescence

3. Transition patterns of young Australians • 34 per cent aged 20-24 were still living at home • Expenditure on a 18-24 year old is greater than for a child aged 15-17 • In Australia • 79.2 per cent of 18-19 year olds • 37 per cent of 23-24 year olds • 18.7 per cent in their late 20s live with their parents • Over 40 per cent of young adults who leave home for reasons other than marriage return home at least once

4. The Project • Supported by Telstra Foundation • Aims: • To examine the life pathways of 60 young people leaving care in Victoria and establish the costs/benefits of providing leaving care support services to young people • Recommend a viable service model to support young people transitioning from care • 60 young people aged 19-25 who had been in care for at least 2 years as teenagers • Semi-structured interviews

5. Data analysis • Check sample composition against known characteristics of Leaving Care population. • Summarise outcomes for use in Cost Benefit Analysis • Differentiated Outcomes Methodology: Looking for relationships between • Outcomes and In Care characteristics • Outcomes and Leaving Care characteristics

6. IN - CARE VARIABLES

7. 40% entered care before the age of 12 • 35% entered care at 12 or 13 • Of those who entered care after 12: • 40% had more than 10 placements • 15% had more than 20 placements

8. 62% had attended more than five different schools • Difficulties at school: • Primary school = 53% • Secondary school = 60% • Participation in organised activity • Primary school = 80% • Secondary school = 68% • Attendance at school: • Primary school = 33% never missed • Secondary school = 3% never missed

9. LEAVING-CARE VARIABLES

10. Age when order lapsed: • 25% were 16 or younger • 27% were 17 years old • Case plan on exit • 22% reported having no case plan • 19% directed to use SAAP or THM • Activity when leaving care • 20% working • 42% unemployed

11. Preparation for leaving care • 30% had some form of preparation • Substantial variation in duration and content • Almost all felt it was at least somewhat useful • Help from family • 43% received no help • 42% received some type of help • Financial help • 57% received no help • 8% received help sometimes

12. Accommodation • 75% never had any help • 15% had some help • Food and Clothing • 66% never or very rarely got some help • Finding a job • 78% received no help • Emotional support • 53% had no support from family in the initial 2 years after leaving care • Help organising their lives • 66% did not receive support from family

13. Help from unrelated people • CSO worker – 60% • Friend or partner 47% • Previous carer – 20% • Type of help • 48% received financial help all the time or often • 68% had accommodation help at least sometimes • 43% had help with food and clothing • 65% had help finding a job • 78% received emotional support • 73% had some help organising their lives

14. OUTCOMES

15. Schooling, Occupation and Income • Highest level of formal school • 48% had completed year 10 • Only 13% had completed year 12 (VCE) • Current status • 37% were involved in some study • 5% were employed full-time (35+ hrs/wk) • 71% were unemployed • Income • Over half had a weekly income of $100-200

16. Housing • Living arrangements • 10% were homeless; 5% lived with a previous carer • Stability of living arrangements • 45% were in very unstable situations • 52% had been at current address for <6 months • 36% had moved accommodation over 5 times in the previous 12 months

17. Debt and Crime • Debt • 53% reported having problems with debts – phone, rental, court fines, vehicles/transport, utility etc. • Involvement with police • 47% had some involvement with the law – charged with an offence, detention, IO, eviction

18. Cycle of care • Young people with children • 28% of YP had children (26 children) • Some young people had three children • Nearly half of the YP who had children had their children while they were still in care • Cycle of care • More than half of the children of YP were in care • Reasons included – YP being in care when the child was born, domestic violence, drug use/abuse, mental health, child abuse

19. Health • Disability • 65% had been diagnosed with a disability • 23% had physical disability or illness – Hep-C; diabetes; vision impairment; arthritis; cancer • 32% had mental disability or illness – schizophrenia; depression, anxiety, post-traumatic stress; obsessive compulsive behaviour; bi-polar • 22% had intellectual disabilities – ADHD; learning disabilities; short-term auditory memory disorder • Only 14% were accessing disability support pension

20. Engagement with community • Community involvement • 23% involved with community organisation (sport, social, youth etc) • Emotional support • 1/3 turned to a friend or partner for support • 1/3 turned to a former carer/CSO worker

21. Confidence levels • Confidence about living independently • Only 17% were not sure or confident about their ability to live independently • Feelings about life • 27% - happy or very happy • 43% - okay • Feelings about future • 68% - hopeful or somewhat hopeful • 23% - unsure

22. SIGNIFICANT RELATIONSHIPS BETWEEN VARIABLES

23. Lapse of order and leaving school • Placement stability and employment • Type of care and age at which a young person left school • Type of care and highest level of schooling completed • Age at which order lapsed and age at which young person left school

24. Leaving care case plan and: • Employment status • Housing stability • Debts • Housing stability and leaving care preparation • Help to find a job and employment status • Age at which young person entered care and use of D&A services • Leaving care preparation and visits to GP and accessing MH services

25. Involvement in leaving care preparation and: • Confidence to live independently (1.5 times) • Feeling about life now (2.2 times) • Feeling about the future (1.5 times) • Positive recollections about their time in care (3.3 times)

26. Cost benefit analysis

27. What that means • Efficiency Gap is around $738,000 per young person over their life-time. • Approximately 450 young people have left care in Victoria during 2003/04. • The State Government could save approx. $332 million annually, if life outcomes for young people leaving care could be made comparable to those of the general population.

28. Preparation young people said they needed • Communication skills • Financial management / budgeting • Information about affordable housing • Information about community services • Home making skills • Hygiene and grooming; healthy lifestyle • Risk and safety • Career assistance • Literacy and numeracy skills

29. Post care support young people said they needed • Housing • Job or study • Counselling • Social networks and mentoring • Financial assistance and advice • Fitness and health • Help for own children • Help with their information

30. Wrap around model

31. Costs of the wrap around model

32. Cost of wrap-around model • Estimated full costs - $172,000 per individual • Estimated utilisation • based on a ‘risk-profile’ of young people in care – 54.7 per cent • based on ‘resilience profile’ of young people in our sample – 52.2 • Equates to an average total cost of $86,000 per young person leaving care, over 7 years

33. Is it worthwhile? • The economic argument • Sunk costs • Federal costs, population effects • Community capacity building • UK experience • The moral argument • Duty of care • Social trends