Youth care agencies must fully reimburse foster parents for compulsory childcare and after-school care expenses, according to a final ruling by the Council of State.
The supreme administrative court made the judgment following a protracted legal dispute between care provider Parlan and two foster families.
The decision brings long-awaited legal clarity to foster families across the Netherlands who previously faced individual bills totaling thousands of euros for mandatory care services.
Thousands in unexpected fees
The case began in 2024 when two foster couples brought legal action against Parlan after their claims for childcare expense coverage were turned down.
Parlan argued that local municipalities held financial responsibility for these costs, leaving foster families caught in the middle and facing steep out-of-pocket expenses.
While standard foster care allowances exist, families argued that these monthly stipends were never intended to cover structural childcare costs and created an unfair barrier for potential carers.
Broad impact on youth care
The Council of State ruled that care providers are directly responsible for disbursing these reimbursements to foster families, while maintaining that local councils must ensure providers receive adequate municipal funding to cover the bills.
Parlan has confirmed it will implement the decision and reimburse affected families, most of whom have already received retroactive payments following earlier court decisions.
The ongoing legal battle has already prompted broader political action, with the national government allocating €10.7 million annually to help fund childcare expenses for foster carers.
Advocacy group NVP praised the ruling, noting that foster families who donate their time and effort should not be burdened with heavy financial penalties during a nationwide shortage of foster placements.

