We have published the findings from our new report titled, "Fee rates for state-funded homecare in 2024-25”.
Fron 1 April 2024 the National Living Wage (NLW) increased by 9.8% to £11.44 per hour, while the Real Living Wage rose in October 2023 by 10.1% to £12 per hour. Our aim was to investigate whether public bodies have increased fee rates for homecare enough to cover costs.
This comprehensive report, based on extensive data collection and analysis, reveals concerning trends in the funding of homecare services across the United Kingdom.
Key findings include:
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The average fee rate for regular homecare contracts with local authorities/HSC Trusts in 2024-25 is £23.26 per hour, far below our Minimum Price for Homecare.
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Only 1% of contracts met or exceeded the Minimum Price for Homecare in their respective nations.
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The UK fee rate uplift of 7.5% fails to match the increase in the National Living Wage (9.8%) or the Real Living Wage (10.1%).
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6% of contracts have rates that don't cover careworker direct costs, risking poor quality care and potential labour abuse.
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An estimated additional £1.67 billion is needed in England alone to enable careworkers to receive wages equivalent to NHS Band 3 healthcare assistants (with 2+ years’ experience).
We urge all stakeholders to review this crucial information and join us in advocating for changes to ensure the sustainability and quality of homecare services. Click here to read our media release.
And click below to read the report in full.
Fee rates for homecare 2024-25 report.pdf