Report

Cash transfers for care leavers

Think tank: The Policy Institute

Author(s): Various authors

March 16, 2026

This report from UK think tank the Policy Institute examines the findings of a randomised controlled trial into cash transfers for care leavers.

Young people leaving care who were given a one-off £2,000 cash lump sum, with no strings attached, were more likely to be in stable housing and less likely to be “sofa-surfing” than their peers, a pioneering study has found. These young people were also happier, had stronger relationships and were less likely to stay overnight in hospital, the findings showed.

This is the first UK trial to test the impact of unconditional cash transfers on homelessness with a sample large enough to draw quantifiable conclusions. It was commissioned by the Centre for Homelessness Impact, conducted by researchers at the Policy Institute, King’s College London, and funded by the UK Government’s Evaluation Accelerator Fund.