Beyond finding a bed: a long-term view on foster care reform

For a child who cannot safely remain at home, foster care can change the course of their life.

A foster or kinship carer provides much more than a place to stay. They provide stability during uncertainty. Safety during crisis. Care when it is needed most.

That is why foster care matters. As part of a broader child and family wellbeing system, it provides an essential safety net for children when they cannot safely remain at home. 

Across Australia, thousands of carers open their homes to children who have experienced trauma, neglect, abuse or family breakdown. They help children rebuild trust, create routine and find a sense of belonging. Often, they do this quietly and without recognition.

The challenge is that this lifeline is becoming harder to sustain.

Almost 45,000 children and young people are currently living in out-of-home care. While the overall number of children requiring care has remained consistently high in recent years, the number of new and active foster carers across Australia has declined steeply, falling by 21 per cent since 2017. Over the same period, the number of children entering residential care has increased by 88 per cent. Together, these trends point to growing pressure on family-based care arrangements and highlight the urgent need to strengthen support for foster and kinship carers. 

We've seen first-hand the consequences when family-based care options become harder to access. When children cannot access stable family-based care, they are more likely to experience disruption at a time when consistency and trusted relationships matter most. That is why addressing the sustainability of foster care is so important, not as a standalone solution, but as a critical part of a broader system that helps children stay safe, connected and supported.

This particular challenge has been at the forefront of my mind as I look back on my first month as the CEO of Families Australia. Indeed, it was a keen drive to tackle this issue that drew me to this role in the first place. The ‘Fair Go for Children in Foster Care campaign’ marks the very start of my work to support the urgent change needed for vulnerable young people and their carers, and I look forward to partnering with our members, partners and governments to work out how we can make this happen. 

When there are not enough carers, children are more likely to experience placement instability or enter residential care settings. Yet we know children do best when they experience stable relationships, consistent support and a strong sense of connection to community and culture. Foster care was never intended to be a revolving door – it is a pathway to safety, healing and better outcomes.

For many children, safety is only the beginning. Many enter care having experienced significant adversity, trauma and disruption. Helping them recover and thrive requires more than a placement alone. Foster care plays a critical role, but children also need timely access to healthcare, mental health services and therapeutic support.

Access to these supports can help children build resilience, strengthen relationships and participate in education and community life. Families Australia sees life long benefits of children in care receiving the healthcare and therapeutic support they need to heal and thrive.

That is why initiatives like Pyjama Day are so important, for the conversations and awareness they create. They remind Australians that children in foster care need more than a placement. They need a sense of connection and the support needed to recover, grow and thrive.

Too often, public discussion about child protection focuses on when a child enters care. We spend less time talking about what happens next.

How long does it take, and what are the barriers, to accessing healthcare and the therapeutic support they need? Are carers properly supported? Are families receiving help early enough to prevent children entering care in the first place? Where it is safe and appropriate, are families being supported to reunify?

These questions go to the heart of how we measure success.

Success is not simply finding a bed for a child. Success is ensuring children are safe, connected and supported, and that they leave the system with every opportunity to lead healthy and fulfilling lives.

Recent debate around the Northern Territory's Care and Protection of Children Legislation Amendment (Every Child Matters) Bill 2026 highlights why these questions matter. Families Australia acknowledges the Northern Territory Government’s commitment to facilitate stronger participation of children in decisions and provide clearer information to families about their rights and obligations.

Throughout the inquiry process, however, we also argued that legislative change alone cannot improve outcomes for children, young people or communities.

Lasting change depends on investment in prevention and early intervention including healthcare, housing, family supports and culturally safe services. Without this, reforms will fall short of their promises.

We were also concerned about changes affecting Aboriginal and Torres Strait Islander children, who remain significantly over-represented in out-of-home care. Any reforms must recognise the importance of family, community, culture and Country and be informed by the expertise of Aboriginal and Torres Strait Islander communities and organisations. 

There is a lesson from the NT debate that can be applied universally: we need to move beyond crisis responses and build a system focused on long-term outcomes.

At Families Australia, that is exactly what we are working towards.

Through the National Foster Care Sustainability Group, Families Australia is bringing together carers, service providers and experts to advocate for practical reforms that build the sustainability of foster care.

Our priorities are straightforward.

Children in care need better access to medical and therapeutic support. Access to healthcare, mental health services and therapeutic interventions should be viewed as an essential component to good care, helping children recover from trauma, strengthen relationships and build positive futures. 

Foster and kinship carers also need relief from growing financial pressures, and fair leave arrangements that recognise the responsibilities they take on when caring for children who have experienced trauma.

These reforms are not about making the system bigger. They are about making it better.

At the same time, we must continue investing in the supports that help families stay together safely wherever possible. Prevention, early intervention and reunification should sit alongside a strong and sustainable foster care system, not compete against it.

The signs are encouraging. Governments are increasingly recognising the pressures facing foster care and child protection. There is growing recognition that supporting children and families is a shared responsibility across governments, community organisations and the broader community. 

Nationally, the re-establishment of the Parliamentary Friends of Foster Carers and Children in Foster Care has created a new platform for collaboration, with MPs including foster carer and Member for Melbourne Sarah Witty, Senator for NSW Maria Kovacic and Member for Curtin Kate Chaney advocating for reform.

But recognition alone is not enough.

Children in out-of-home care, and the carers who look after them, deserve a fair go. They deserve a system that backs carers, supports families and keeps children's long-term wellbeing at its core. That's how we create better outcomes for children in care today, and for the generations of foster children to come.

Author:

Suzanne Greenwood, CEO, Families Australia.