Agenda item

11.

FAIR COST OF CARE EXERCISE

11.1

The Committee received a report which provided an update on the position from Central Government in relation to the Social Care Reform and the Fair Cost of Care exercise. It included implications on the Grant and future reporting. Liam Duggan, Assistant Director, Governance and Inclusion and Catherine Bunten, Head of Commissioning – Adults presented the report.

11.2

RESOLVED UNANIMOUSLY: That the Adult Health and Social Care Policy Committee:-

1. Note the latest position from UK Government

2. Approve the proposals for use of the 2022/23 Market Sustainability and Fair Cost of Care Fund.

3. Approve that contributions for backdated fee increases are waived, with people being informed about the fee rate increase and impact on contributions on 10th January 2023, and the increase in contributions taking effect from 23rd January 2023

4. Approve the proposed process for fee setting in 2023/24

11.3

Reasons for Decision

11.3.1

The recommendations for the use of the Fair Cost of Care Grant are made to ensure compliance with the Grant conditions.

11.3.2

The Council will continue to monitor the costs and pressures facing each type of care provision to support a stable, quality and diverse market during a very challenging time for providers, for pope who use services and for the Council and wider health and social care system.

11.4

Alternatives Considered and Rejected

11.4.1

The conditions of the Market Sustainability and Fair Cost of Care Fund dictate local authorities should use this additional funding to increase fee rates paid to providers beyond the level required to cover increases in core costs such as inflation, workforce pressures, National Living Wage, and National Insurance.

11.4.2

Funding must be spent within the designated financial year.

11.4.3

Therefore, the only other option would be to not allocate the Fund to providers. Given the risks and issues faced by providers, including those relating to financial stability, this is not recommended.

11.1

The Committee received a report which provided an update on the position from Central Government in relation to the Social Care Reform and the Fair Cost of Care exercise. It included implications on the Grant and future reporting. Liam Duggan, Assistant Director, Governance and Inclusion and Catherine Bunten, Head of Commissioning – Adults presented the report.

11.2

RESOLVED UNANIMOUSLY: That the Adult Health and Social Care Policy Committee:-

1.     Note the latest position from UK Government

2.     Approve the proposals for use of the 2022/23 Market Sustainability and Fair Cost of Care Fund.

3.     Approve that contributions for backdated fee increases are waived, with people being informed about the fee rate increase and impact on contributions on 10th January 2023, and the increase in contributions taking effect from 23rd January 2023

4.     Approve the proposed process for fee setting in 2023/24

11.3

Reasons for Decision

11.3.1

The recommendations for the use of the Fair Cost of Care Grant are made to ensure compliance with the Grant conditions.

11.3.2

The Council will continue to monitor the costs and pressures facing each type of care provision to support a stable, quality and diverse market during a very challenging time for providers, for pope who use services and for the Council and wider health and social care system.

11.4

Alternatives Considered and Rejected

11.4.1

The conditions of the Market Sustainability and Fair Cost of Care Fund dictate local authorities should use this additional funding to increase fee rates paid to providers beyond the level required to cover increases in core costs such as inflation, workforce pressures, National Living Wage, and National Insurance.

11.4.2

Funding must be spent within the designated financial year.

11.4.3

Therefore, the only other option would be to not allocate the Fund to providers. Given the risks and issues faced by providers, including those relating to financial stability, this is not recommended.