UKHCA

United Kingdom Homecare Association
The professional association for homecare providers

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UKHCA Media Release

UKHCA's response to CQC's substantial fee increases from April 2017 - 20/10/2016

The Care Quality Commission is proposing a 60% increase in homecare providers' fees from next April in a consultation launched today.This means the fee for a single location provider will increase from £1,369 to £2,192.

The proposals are in response to a Treasury drive to ensure statutory regulators move to recovering their running costs from the organisations they regulate, rather than rely on public funding in the form of grant-in-aid.

Fees raised from homecare providers in 2016/17 were £12.9 million, with CQC's costs amounting to £29.4 million. The proposal is to increase homecare providers' fees by 60.1% from April 2017, raising £20.7 million and closing the gap on CQC's predicted costs of £26.5 million for 2017/18.

CQC set out their plans last year to raise fees for homecare providers over four years to achieve full cost recovery, so 2017/18 is the second year of phasing.It is important to note that the homecare sector was the only adult social care service to successfully lobby for fee increases to be phased over four years.Other sectors are expected to achieve full cost recovery over two years.

Fee increases for homecare services (included in the term community social services' used in the consultation paper) are calculated according to the number of locations, as follows:

Number of locations

Actual fee 2016/17

Proposed fee 2017/18

1

£1,369

£2,192

2 to 3

£3,806

£6,093

4 to 6

£7,611

£12,184

7 to 12

£15,224

£24,370

13 to 25

£30,447

£48,740

More than 25

£60,893

£97,476

The proposed increase from April 2017 onwards is more than the 50% higher rate anticipated in last year's CQC report.

Duncan White, UKHCA's Senior Campaigns Officer commented:

"Last year we said that the proposed increases were outrageous and this next increase will put further pressure on the homecare sector, despite CQC's warnings that adult social care services are at a tipping point'. Providers will rightly expect an improved service from CQC, with inspection reports being completed much faster, more consistent judgements, better feedback following inspection visits and a sense that the Commission is responsive to providers' needs."

The consultation period will run for 12 weeks until 11 January 2017. UKHCA will be preparing a response on behalf of members, so please send your views to policy@ukhca.co.uk.

CQC say final figures are likely to be announced shortly before April 2017, so it would be prudent for providers to assume the proposed figures will stand for budgeting purposes.

Care Quality Commission's 'Regulatory Consultation document' proposals for fees from April 2017 for all providers that are registered under the Health and Social Care Act 2008:

UKHCA Briefing "CQC Fees Consultation" fees from April 2016, November 2015: www.ukhca.co.uk/members/pdfs/cqcfeesbriefingdocument.pdf

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