Our Homecare Deficit 2023 suggested that only 7% of state commissioners in Wales were paying an average rate at, or above, the Homecare Association’s Minimum Price for Wales. This is despite an increase of fee rates by 24% since 2021 – partly due to a low starting point, and also the high inflation we have seen over the last two years.
The Homecare Association’s new calculation for the Minimum Price for Homecare in Wales is £30.58 per hour.
We base this minimum on the Real Living Wage (given the Welsh Government’s commitment to pay careworkers this rate), which now stands at £12.00 an hour across the United Kingdom.
Our Minimum Price for Wales is the amount required to ensure careworkers receive this wage (excluding any enhancements for unsocial hours working), their travel time, mileage, and wage-related on-costs. The rate also includes the minimum contribution towards the costs of running a care business, which complies with quality and other legal requirements.
We do not suggest that the Minimum Price recognises the value of homecare services to society by providing a fair reward for the essential workforce. This would be a ‘fair price’. Instead, we have calculated a ‘minimum price’, and so this should not be treated as a national acceptable price capable of achieving a stable workforce.
Many providers in Wales need to pay a higher rate to recruit staff as competition from other sectors remains strong (or alternatively, they will have to cover additional costs to recruit internationally).The Homecare Association’s Minimum Price has gained wide recognition within the social care and health sectors in all four UK administrations.
We will continue to challenge central government and the Welsh Government on the overall funding of social care. It is, however, councils, the NHS, and Health and Social Care Trusts (in Northern Ireland) that determine the prices they pay for homecare services at a local level
Homecare Association Minimum Price for Homecare - Wales 2024-2025.pdf