Cost of Care Exercise with Home Care and Care Home Providers

The 2022 to 2023 funding is designed to ensure local authorities can prepare their markets for reform and move towards paying providers a fair cost of care, as appropriate to local circumstances. The identified 'fair cost of care' will be what local authorities are required to move towards paying providers. It is understood from the guidance that this means to both increase the payments to providers below this rate and bring down the value of payments to providers above the rate. 'the cost of care report is required to capture the lower quartile and upper quartile costs. This reflects that there are a range of local costs. The median figure will enable transparency and assurance that fee rates are moving towards the fair cost of care'