William Eichler 25 October 2018

Care providers handing back contracts due to ‘inadequate’ council fees

Cash-strapped local authorities have been accused of not paying enough to allow private care providers to cover their costs.

Freedom of information requests sent to over 200 councils and care trusts by the UK Homecare Association have revealed that the average price paid for homecare in the UK is just £16.12 per hour.

This is almost £2 per hour less than UKHCA’s minimum price for homecare of £18.01 per hour.

Over 850,000 people are given support in their own home, about 80% of which is organised by councils. The work is then normally outsourced to care agencies.

UKHCA, the umbrella group for care firms, calculates that the UK’s homecare sector needs at least £402m per year to ensure homecare providers can meet their statutory obligations, including paying carers the National Living Wage.

The size of the deficit this year would be £921m if national governments and local councils committed to paying carers the Real Living Wage, UKHCA warned.

The UKHCA’s report, The Homeware Deficit 2018, notes that there is evidence of providers ‘ceasing trading and handing back homecare contracts’ on the basis of ‘inadequate fee levels.’

The report estimates that almost one third of councils in England (48) have seen homecare providers closing or ceasing to trade during a six-month period this year.

Adult social care currently amounts to almost 40% of council budgets and local authorities face a shortfall in care funding of £3.5bn by 2025.

SIGN UP
For your free daily news bulletin
Highways jobs

Vocational Trainer - First Aid - South Essex

Essex County Council
Up to £18.38 per hour
Vocational Trainer - First Aid - South EssexTemporary, Part Time£18.38ph/£136.04 Per Day (PAYE)Location
Recuriter: Essex County Council

Learning Support Lead

Essex County Council
£29467.0000 - £34667.0000 per annum
Learning Support LeadPermanent, Full Time£29,467 to £34,667 per annumLocation
Recuriter: Essex County Council

Senior Support Worker - D-BIT, Connecting and Uniting Families

Essex County Council
£26284.0000 - £33256.0000 per annum
Senior Support Worker - D-BIT, Connecting and Uniting FamiliesFixed Term, Full Time£26,284 to £33,256 per annumLocation
Recuriter: Essex County Council

Approved Mental Health Practitioner

North Yorkshire Council
£42,839 to £47,181 per annum, Plus £3,900 market supplement
This is an exciting time to join us as we review and shape services to meet the future needs of people across North Yorkshire and the City of York. Selby, North Yorkshire
Recuriter: North Yorkshire Council

Approved Mental Health Practitioner

North Yorkshire Council
£42,839 to £47,181 per annum, Plus £3,900 market supplement
This is an exciting time to join us as we review and shape services to meet the future needs of people across North Yorkshire and the City of York. Northallerton, North Yorkshire
Recuriter: North Yorkshire Council
Linkedin Banner