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We are writing to confirm Essex County Council’s position for the increase in care fees for adults with learning disabilities and/or autism, physical impairment and/or sensory impairments.

In line with acknowledged pressures on staffing costs and general inflation we have calculated an increase to fees is required to keep pace with inflation on packages in Essex. Please refer to the Uplift Approach section of this letter to understand how the uplift is to be apportioned to packages within Essex and any further action you may need to take.

Uplift Approach

Where applicable the increase will be paid from the start of the 2025-26 financial year, with backdated payment as appropriate.

As with the increase in the past few years, this is not being applied as a blanket increase to all packages and we want to engage with providers that we have not yet spoken to understand the cost breakdowns of these packages so they can be benchmarked with Care Cubed, which is the tool we use to benchmark all new and existing AWD residential packages in Essex.

The uplift will be applied immediately and automatically to packages that have been made at homes where we have benchmarked the fees through Care Cubed in the recent past and have agreed the package is in scope for an increase, if you have not been benchmarked within the last year or are unsure then please contact us using awd.procurement@essex.gov.uk and will support accordingly.

Where this point is not met, you will be required to complete a cost breakdown to ECC detailing the current costs of delivering the care package in 2025-26. This will then be entered into Care Cubed to identify the benchmarked rate and whether an uplift is appropriate in each case.

Where there is no further action for you to take the uplifts will be automatically applied.

Complex Residential Framework

Where you have applied and been successfully appointed to the Essex County Council Complex Residential Framework, fees for homes that have been submitted as part of this contract will also be subject to a maximum increase of 5.8%, provided this does not then exceed the benchmarking requirements built into the contract.

Non-Automatic Uplifts

Packages placed within homes that are not included on the Complex Residential Framework will be subject to an increase of up to 5.1%.

Before an uplift is awarded to non-framework packages, providers will be required to contact the Council and will then be taken through the application process for the uplift to these packages. When awarded the new uplifted fee will be backdated a maximum of 3 months prior to the request being made by the provider or to the 1st of April if requested in April or May of 2025. 

Out of County Placements

This uplift applies to packages placed within the Essex Administrative Area only, and any package placed outside of this, including Southend and Thurrock unitary authorities will be approached in a different manner.

Essex County Council will commit to uplifts for any out of county packages up to the offer of the host authority for the home on application by the provider for an increase to the package and the deadline for this is 31st March 2026.

Upon application, Essex County Council will require the provider to complete a full pricing breakdown before an increase is awarded. This will then be used to benchmark the package using Care Cubed to define whether an uplift will be awarded, and the appropriate level of the uplift. When awarded the new uplifted fee will be backdated a maximum of 3 months prior to the request being made by the provider or to the 1st of April if requested in April or May of 2025.  

We would like to take the time to thank you for your support through the past 12 months and the exemplary care that has been provided to adults within your services and for the support provided to staff throughout this time.

Should you have any queries regarding the uplift approach for 2025/26 please get in touch with us directly at: awd.procurement@essex.gov.uk

We are writing to confirm Essex County Council’s position for the increase in care fees for adults with learning disabilities and/or autism, physical impairment and/or sensory impairments.

In line with acknowledged pressures on staffing costs and general inflation we have calculated an increase of 5.4% is required to keep pace with inflation on packages in Essex. Please refer to the Uplift Approach section of

this letter to understand how the uplift is to be apportioned to packages within Essex and any further action you may need to take. Where applicable the increase will be paid from the start of the 2024-25 financial year, with backdated payment as appropriate.

Uplift Approach

As with the increase in the past few years, this is not being applied as a blanket increase to all packages and we want to engage with providers that we have not yet spoken to understand the cost breakdowns of these packages so they can be benchmarked with Care Cubed, which is the tool we use to benchmark all new and existing AWD residential packages in Essex. The uplift will be applied immediately and automatically to packages that have been made at homes where we have benchmarked the fees through Care Cubed in the recent past and have agreed the package is in scope for an increase, if you have not been benchmarked within the last year or are unsure then please contact us using awd.procurement@essex.gov.uk  and will support accordingly.

Where this point is not met, you will be required to complete a cost breakdown to ECC detailing the current costs of delivering the care package in 2024-25. This will then be entered into Care Cubed to identify the benchmarked rate and whether an uplift is appropriate in each case. Where there is no further action for you to take the uplifts will be automatically applied.

Complex Residential Framework

Where you have applied and been successfully appointed to the Essex County Council Complex Residential Framework, fees for homes that have been submitted as part of this contract will also be subject to a maximum increase of 6.24%, provided this does not then exceed the benchmarking requirements built into the contract.

Out of County Placements

This uplift applies to packages placed within the Essex Administrative Area only, and any package placed outside of this, including Southend and Thurrock unitary authorities will be approached in a different manner. Essex County Council will commit to uplifts for any out of county packages up to the offer of the host authority for the home on application by the provider for an increase to the package and the deadline for this is 31st March 2025.

Upon application, Essex County Council will require the provider to complete a full pricing breakdown before an increase is awarded. This will then be used to benchmark the package using Care Cubed to define whether an uplift will be awarded, and the appropriate level of the uplift.

We would like to take the time to thank you for your support through the past 12 months and the exemplary care that has been provided to adults within your services and for the support provided to staff throughout this time.

Should you have any queries regarding the uplift approach for 2024/25 please get in touch with us directly at awd.procurement@essex.gov.uk 

 

We are writing to confirm Essex County Council’s position for the increase in care fees for adults with learning disabilities and/or autism, physical impairment and/or sensory

impairments. In line with acknowledged pressures on staffing costs and general inflation we have calculated an increase of 8% is required to keep pace with inflation on packages in Essex.

Please refer to the Uplift Approach section of this letter to understand how the uplift is to be apportioned to packages within Essex and any further action you may need to take. Where applicable the increase will be paid from the start of the 2023-24 financial year, with backdated payment as appropriate.

Uplift Approach

As with the increase in the past few years, this is not being applied as a blanket increase to all packages and we want to engage with providers that we have not yet spoken to understand the cost breakdowns of these packages so they can be benchmarked with Care Cubed, which is the tool we use to benchmark all new and existing AWD residential packages in Essex. The uplift will be applied immediately and automatically to packages that have been made at homes where we have benchmarked the fees through Care Cubed in the recent past and have agreed the package is in scope for an increase.

Where this point is not met, you will be required to complete a cost breakdown to ECC detailing the current costs of delivering the care package in 2023-24. This will then be entered into Care Cubed to identify the benchmarked rate and whether an uplift is appropriate in each case.

In addition to this letter a further letter will be sent directly to each provider to notify them of any actions they may need to take to be awarded the uplift and which packages will be affected. This letter will be issued within 10 days from the receipt of this letter. Where there is no further action for you to take the uplifts will be automatically applied.

Complex Residential Framework

Where you have applied and been successfully appointed to the Essex County Council Complex Residential Framework, fees for homes that have been submitted as part of this contract will also be subject to an 8% increase, provided this does not then exceed the benchmarking requirements built into the contract.

Out of County Placements

This uplift applies to packages placed within the Essex Administrative Area only, and any package placed outside of this, including Southend and Thurrock unitary authorities will be approached in a different manner. Essex County Council will commit to uplifts for any out of county packages up to the offer of the host authority for the home on application by the provider for an increase to the package.

Upon application, Essex County Council will require the provider to complete a full pricing breakdown before an increase is awarded. This will then be used to benchmark the package using Care Cubed to define whether an uplift will be awarded, and the appropriate level of the uplift.

We would like to take the time to thank you for your support through the past 12 months and the exemplary care that has been provided to adults within your services and for the support provided to staff throughout this time.

Should you have any queries regarding the uplift approach for 2023/24 please get in touch with us directly at AWD.Procurement@essex.gov.uk

Essex County Council have confirmed the uplift to be offered to all providers of residential care to adults with learning disabilities and/or autism, or physical and/or sensory impairments.

In line with acknowledged pressures on staffing costs and general inflation we have calculated an increase of 6.34% is required to keep pace with inflation on packages in Essex.

Uplift Approach

As with the increase last year this is not being applied as a blanket increase to all packages and we want to engage with providers that we have not yet spoken to understand the cost breakdowns of these packages so they can be benchmarked with Care Cubed, which is the tool we use to benchmark all new and existing AWD residential packages in Essex.

The uplift will be applied immediately and automatically to packages that meet either of the criteria detailed below:

  • have been benchmarked through Care Cubed and accepted previously; or
  • are below £1,100 per week in current cost.

Where neither of these criteria points is met you will be required to complete a cost breakdown to ECC detailing the current costs of delivering the care package in 2022-23. This will then be entered into Care Cubed to identify the benchmarked rate and whether an uplift is appropriate in each case.

In addition to this letter a further letter will be sent directly to each provider to notify them of any actions they may need to take to be awarded the uplift, or if they have met either element of the criteria already outlined above.

Out of County Placements

This uplift applies to packages placed within the Essex Administrative Area only, and any package placed outside of this, including Southend and Thurrock unitary authorities will be approached in a different manner.

Essex County Council will commit to uplifts for any out of county packages in line with the offer of the host authority for the home on application by the provider for an increase to the package.

However, Essex County Council reserves the right to require any provider to complete a full pricing breakdown before an increase is awarded where there is no existing record of the package breakdown and no existing benchmark and where appropriate to negotiate a different increase based on this evidence when provided.

Essex County Council have confirmed the uplift to be offered to all providers of residential care to adults with learning disabilities and/or autism, or physical and/or sensory impairments.

In line with acknowledged pressures on staffing costs and general inflation we have calculated an increase of 2% is required to keep pace with inflation on packages in Essex.

Calculation Methodology

To arrive at this proposed increase, we have taken the rates of increase of the two main factors within residential package costs, being the National Living Wage, and RPI as the indicator of general inflation.

These two figures are then weighted to represent the typical composition of a residential care package, with 65% of the cost being attributed to staffing and labour, and the remaining 35% including items affected by general inflationary pressures such as consumable items, rent/mortgages, and maintenance.

The below is a breakdown of the calculations to arrive at this figure:

 

2021 Rate

% Inc.

Projected Minimum Wage

£8.91

2.18%

RPI

1.60%

1.60%

     

Residential

% Weighting

Weighted %

Labour

65%

1.42%

Property, Consumables etc.

35%

0.56%

 

Total

1.98%

 

Uplift Approach

As with the increase last year this is not being applied as a blanket increase to all packages and we want to engage with providers that we have not yet spoken to understand the cost breakdowns of these packages so they can be benchmarked with Care Cubed, which is the tool we use to benchmark all new and existing AWD residential packages in Essex.

The uplift will be applied immediately and automatically to packages that meet either of the criteria detailed below:

  • have been benchmarked through Care Cubed and accepted previously; or
  • are below £1,100 per week in current cost.

Where neither of these criteria points is met you will be required to complete a cost breakdown to ECC detailing the current costs of delivering the care package in 2021-22. This will then be entered into Care Cubed to identify the benchmarked rate and whether an uplift is appropriate in each case.

In addition to this letter a further letter will be sent directly to each provider to notify them of any actions they may need to take to be awarded the uplift, or if they have met either element of the criteria already outlined above.

Out of County Placements

This uplift applies to packages placed within the Essex Administrative Area only, and any package placed outside of this, including Southend and Thurrock unitary authorities will be approached in a different manner.

Essex County Council will commit to uplifts for any out of county packages in line with the offer of the host authority for the home on application by the provider for an increase to the package.

However, Essex County Council reserves the right to require any provider to complete a full pricing breakdown before an increase is awarded where there is no existing record of the package breakdown and no existing benchmark and where appropriate to negotiate a different increase based on this evidence when provided.

 

Additional Provider Support

The Council is committed to supporting the market to deal with financial challenges and to reduce the costs for care providers. Care England and ECC are promoting a variety of initiatives to save your business money (for example free energy and water reviews, and free HR advice line), your carers money (Kwik Fit Club and reduced gym membership), as well as access to an Employee Assistance Programme.

These initiatives, and others, can be found via Care England’s website (https://www.careengland.org.uk/offers/) and Essex County Council’s Provider Hub (https://www.essexproviderhub.org/care-market-offers/)

Last updated: 14/10/2024