Purpose

Reason for the decision:  While in 2023/2024 we applied a differential uplift, in 2024/2025 we are returning to a standard uplift for framework providers which seeks to balance available funding, Consumer Price Index and provider pressures.

The proposed allocations are those which are affordable in the Council’s recently agreed budget. We are aware that the proposed uplift will not meet providers’ expectations. We will work with providers to offer incentives where we can work together to reduce costs overall, for example by working with an individual to increase their independence, or framework providers increasing their capacity to reduce off framework spend.

The decision supports Priority 4 of ‘Framing Kent’s Future’, to ensure the sufficiency of the market of social care in Kent and objective 2 of Securing Kent’s Future in delivering savings from identified opportunity areas to set a sustainable 2024/2025 budget and MTFP:

Other Options Considered and Discarded: There were three options identified as to how the fee uplifts could be managed this year:

·         Apply differing standard percentage uplifts applied to specified framework contracts according to the services provided, as we did in 2023/2024. We rejected this option given the funding envelope available.

·         Apply no uplifts across all services: this was discarded, because although we cannot meet providers’ expectations, we have to do what we can within our constrained resources to support providers with their challenges.

·         Apply standard percentage uplift across all service provisions: This is the preferred option given the limited funding available. It seems to be the fairest approach given that all care sectors are facing cost pressures.

Financial Implications: Table 1 below shows the proposed percentage fee uplift, as a proportion of the overall provision in the 2024/2025 budget. The first section represents those services where a standard percentage uplift will be provided to all framework providers.

Providers within both these and other services, on individual (non-framework/INDI contracts) will receive no automatic uplift to their fees although, additional funding is available for individual price negotiations. Allocation of this funding will be governed by the development of a standard approval process based on the financial viability and benchmarking of the provision in question.

Direct Payments are handled separately and are uplifted depending on the purpose of the payment, eg to access day care, purchase agency care or to directly employ a Personal Assistant.

Table 1 – Price Uplift – Budget Impact 2024/2025

%

Vulnerable Adults

£000

Older People

£000

Total

£000

Framework providers

• Care and Support in the Home
• Older Persons Nursing and Residential
• Learning Disability, Physical Disability and Mental Health Residential
• Supported Living/Supporting Independence Service
• Supported Accommodation

4%

9,119

7,193

16,312

Provision for Direct Payments

2,316

828

3,144

Provision for individual negotiations

9,391

Total uplift budget

28,847

Decision

As Cabinet Member for Adult Social Care and Public Health, I agree to:

a)    Approve the fee uplifts for Adult Social Care Providers for 2024/2025 and

b)   Delegate authority to the Corporate Director Adult Social Care and Health to take relevant actions, including any changes to the percentage uplifts, as necessary to implement the decision