Cardiff West AM Mark Drakeford warned that there is an escalating rate of children removed from their families by Welsh local authorities in a short debate on 14 November 2012.
There were 4,200 looked after children in 2003 but the figure has reached 5,725 this year according to the Labour AM.
During his time in the chamber, Mr Drakeford called for exploring a new approach to providing services through social impact bonds.
He argued that they could reduce the number of children received into the care of local authorities in Wales.
Responding to the debate the Deputy Minister for Children Gwenda Thomas welcomed the opportunity to "change for the better the lives of looked after children in Wales".
She voiced her regret that "poverty and debt are underlining issues for many of the families" as she outlined the government's commitment to supporting these families.