Allowances paid to kinship carers will be upped to the same level as those received by foster carers after the Scottish Government announced it would provide councils with £10.1 million.

Children's Minister Aileen Campbell said the money will help improve the lives of about 5,200 youngsters in Scotland whose parents are unable to care for them and who are looked after by other family members.

It comes after the SNP pledged to introduce equality in the allowances paid to foster carers and kinship carers in 2007.

The Scottish Government has been working with the local government body Cosla to establish how best to fund councils to make the change.

Anne Swartz, chair of the Scottish Kinship Care Alliance, said she is "delighted that the Scottish Government has finally recognised the comparable needs of children in kinship and foster care, which kinship carers have campaigned tirelessly for".

But she said reports estimate there are at least 20,000 children in kinship care in Scotland - one in every 71 children - with families often making informal arrangements, and she added that these youngsters would be left out.

Ms Swartz said: "We must not let the majority of children in kinship care become more marginalised and vulnerable. We will continue to work with the Scottish Government and kinship carers across Scotland to get all kinship care families recognised and supported."

Ms Campbell said: "Vulnerable children in kinship care families deserve to be treated the same as other children who can't live at home.

"Often the circumstances that lead to a relative taking a child or young person into their home are heart-breaking, confusing and complex for all involved. Having a family relationship provides stability and support, but it can be a significant upheaval and one which needs proper support.

"The additional investment of £10.1 million will improve the lives of around 5,200 children, delivering practical improvements for those who have had to struggle in the past as they strive to provide security and stability for some of Scotland's most vulnerable children and young people."

She added that the announcement is also "recognition of the incredible commitment and dedication that all kinship carers make every day".

Councillor Stephanie Primrose, Cosla's spokeswoman for children and young people, said: "This agreement has been the fruit of over a year's work with Scottish Government and local authorities. It means that a kinship carer will receive an allowance from the local authority which will equal the value of the allowance paid to local foster carers. We have also agreed as part of this deal that councils will now pay allowance to carers of eligible children that have secured parental rights through a court order.

"This agreement has been reached with the help of new money from Scottish Government, but also comes about because of a massive commitment from local government. With budgets under pressure at the local level, this was not an easy commitment for local government to make, but I feel that it exemplifies the support of local government for vulnerable children and shows what can be achieved by local and Scottish Government working together at the national level."

Labour's Iain Gray said: "At last the SNP have delivered the promise they made to kinship carers in 2007.

"Kinship carers provide an invaluable service to our communities, taking on responsibility for grandchildren and other relatives when parents cannot. They deserve this recognition. They did not deserve having to wait eight years for it."