Indigenous kids in care at 'alarming' rate

A report from Family Matters shows Indigenous children are 10 times more likely to be in state care. (Dan Peled/AAP PHOTOS) (AAP)

More than half of Aboriginal and Torres Strait Islander children in out-of-home care were placed with non-Indigenous families in the past year - the highest proportion in 20 years.

A new report from Family Matters found Indigenous kids are 10 times more likely to be in state care, with 40 per cent living with Indigenous families.