Purpose

To approve the proposed fee increase for Adult
Social Care providers for the period 2025-2026.

Content

1.     
That the proposed increases in care fee levels for 2025-2026 as set
out in Table 1 to ensure sufficiency and sustainability across the
external Adult Social Care market be approved.

 

2.     
That increases be approved with effect from 7 April 2025 to align
to corporate payment systems.
 
Table 1 –
Proposed Care Fees for 2025/2026
 

Type of Care Provision

Recommendation

Current Rate 2024-25 (£)

% Increase

Proposed Rate 2025-26
(£)

Homecare

Increase to reflect the cost impact of the National Living Wage
(NLW), Employers National Insurance (NI) and Consumer Price Index
(CPI) inflation. To be applied to care and support delivered
through the City of Wolverhampton Council (CWC)19112 – Home
Care – Light Touch Flexible Framework, as well as spot
purchased care commissioned outside of the contract.

20.28*
(hourly rate)

6.60

21.64*
(hourly rate)

Reablement

21.68*
(hourly rate)

6.60

23.12*
(hourly rate)

Home
Based Respite

19.36*
(hourly rate)

6.60

20.64*
(hourly rate)

Direct Payments for Adults, Carers and Children’s –
Agency Rate

Aligned to the Supported Living rate. Increase to reflect cost
impact of NLW, Employer NI changes and CPI Inflation.

19.36
(hourly rate)

6.60

20.64
(hourly rate)

Direct Payments for Adults, Carers and Children’s –
Employed Personal Assistant

Increase to reflect cost impact of the NLW and Employer NI
changes.

14.08
(hourly rate)

9.91

15.48
(hourly rate)

Direct Payments for Adults, Carers and Children’s –
Self-Employed Personal Assistant

Increase to reflect cost impact of the NLW and Employer NI
changes.

17.24
(hourly rate)

9.33

18.88
(hourly rate)

Individual Service Funds - Dependent on Care Type

Aligned to the Supported Living rate. Increase to reflect cost
impact of NLW, Employer NI changes and CPI Inflation.

19.36
(hourly rate
Dependent on Care Type)

6.60

20.64
(hourly rate
Dependent on Care Type)

Residential Care – Older People

Increase to reflect cost impact of the NLW, Employer NI changes and
CPI inflation. All placements are spot purchased rather than
through a framework or contract.

592.27
(weekly rate)

6.60

631.40
(weekly rate)

Residential Care – Older People with Dementia

636.72
(weekly rate)

6.60

678.79
(weekly rate)

Nursing Care – Older People

667.03
(weekly rate)

6.60

711.06
(weekly rate)

Nursing Care – Older People with Dementia

716.87
(weekly rate)

6.60

764.19
(weekly rate)

Residential and Nursing – under 65 years old

Individually
Negotiated

6.60

Individually
Negotiated

Shared Lives

Increase fees to reflect the cost impact of the NLW, Employers NI
changes and CPI Inflation. To be applied to the CWC21029 –
Shared Lives Contract.

Long
term (weekly rate)
Low
- 306.32
Med
- 358.82
High
- 411.32

Arrangement (Arr) Fee  -114.24

 

Short Break (weekly rate)
Low
- 411.25
Med
- 463.82
High
- 516.32
Arr
Fee-19.58

 

6.60

Long
term (weekly rate)
Low
– 326.55
Med
– 382.55
High
– 438.48
Arr
Fee - 121.80

 

Short Break (weekly rate)
Low
– 438.41
Med
– 494.48
High
– 550.41
Arr
Fee- 20.93 per night

 

Supported Living Disabilities Framework

Increase fees to reflect the cost impact of the NLW, Employers NI
changes and CPI Inflation. To be applied to the CWC19045 –
Supported Living for Adults with Disabilities contract and spot
purchased care outside of the contract

 

19.36
(hourly rate)

6.60

20.64
(hourly rate)

Supported Living Forensic Framework

Increase fees to reflect the cost impact of the NLW, Employer NI
changes and CPI Inflation. Applied to CWC20029 – Supported
Living Framework for Individuals with Forensic History or
Significant Complex Behaviour.

 

22.88*
(hourly rate)

6.60

24.40*
(hourly rate)

Supported Living Block Contracts

Increase fees to reflect the cost impact of the NLW, Employer NI
changes and CPI Inflation.

Individually
Negotiated

6.60

Individually
Negotiated

Day
Care Sessional Rates

Increase fees to reflect the cost impact of the NLW, Employer NI
changes and CPI Inflation.

36.88
(sessional
rate)

6.60

39.32
(sessional
rate)

Day
Care Hourly Rates

Increase fees to reflect the cost impact of the NLW, Employers NI
changes and CPI Inflation. Ensure that the rate is consistent with
the supported living rate and proportionate to 1:1 1:2 1:3 staffing
ratios.

19.36 per hour for
1:1 staffing
9.68 per hour for
1:2 staffing
6.46 per hour for
1:3 staffing

6.60

20.64 per hour for
1:1 staffing
10.32 per hour for
1:2 staffing
6.88 per hour for
1:3 staffing

 
The
proposed percentage uplifts have been applied to 2024-2025 rates
and rounded up so that hourly and weekly rates are divisible by
four and seven respectively. This is to allow corporate systems to
accurately and correctly facilitate payment to external providers.
Actual rates would be communicated with each individual provider as
part of implementation.

 

*This is the current maximum rate. Where providers have tendered
lower than this rate then the same percentage and rounding will
apply.
 

3.     
That it be noted, engagement had been undertaken with external
providers and the feedback received has informed the review amongst
other factors such as the increase to the National Living Wage
(NLW), changes to Employers National Insurance (NI), Consumer Price
Index (CPI) inflation and the legal duties for a sustainable market
and setting a balanced budget.

 

4.     
That it be noted, this report would be presented to Fulfilled Adult
Lives Scrutiny Panel on 11 February 2025. The Panel’s
comments would be fed in verbally at the meeting of Cabinet on 19
February 2025.

 

1.     
That it be noted, any proposed care fee increases would create an
ongoing expectation to continue paying fees at this new minimum
level.

 

2.     
That it be noted, all other care contracts not explicitly referred
to within this report are out of scope for the care and support
provider review 2025-2026 and therefore any price adjustments to
such contracts are managed through separate mechanisms.

 

3.     
That it be noted, new contracts, including re-tendering, would
include indexation clauses which would set out the mechanism for
adjusting prices throughout the contract period. Indexation may
include linking prices to changes in the NLW and indices for
inflation, to be determined based on the specific nature of
services being procured.

 

4.     
That it be noted, ensuring quality of provision had been factored
when considering proposed care fee increases, which would be
continually managed through our quality assurance processes.