Purpose

The increase request relates to cost of off
framework placements. The current contract for these placements
permits inflationary increases subject to a consideration of the
actual costs incurred by the Provider and the need for value for
money justification.
The provider has demonstrated to the Council justification for such
increases citing various reasons which generally relate to
unavoidable cost pressures of inflation, National Living Wage
increase, National Insurance increase and pension costs. Should
these increases not be agreed there is a risk that the placements
will no longer be sustainable and new provision
would need to be sourced.

Content

To agree price increase requests which have
been received for individual placements for children and young
people.

Alternative options considered

Do Nothing
There is a risk of places being withdrawn if providers do not cover
their costs and are not able to deliver the provision, especially
to meet the specific needs of our children and young people.
This would lead to the authority not meeting its statutory duties.
New placements would need to be sourced for the children and young
people being affected in a difficult and challenging market
with high demand and low availability of placements