Purpose

cThis report sets out the fee
rate proposals for social care and support providers in
2026/27 to ensure that the Council implements rates that
support market sustainability based on Real Living Wage rates of
£13.45 per hour.
 
The report confirms the fee
rates it would pay to providers should they reject the Real Living
Wage rates offer for 2026/27.
 
The report also sets out the
fee rates for approval in line with the available budgets approved
by the Council on 4 March 2026, including the impact on the Section
75 pooled budgets, which are agreed in principle by NHS
Cheshire and Merseyside Integrated Care Board (Knowsley) in
accordance with the Section 75 Agreement.
 

Decision

 
(i)            
That the gross investment in the Adult Social Care provider market
of £6.984m be approved as outlined throughout this report in
line with the budget approved by the Council on 4 March 2026 and
confirmed by NHS Cheshire and Merseyside Integrated Care Board
(Knowsley) in principle under the Section 75 Agreement on 24
February 2026 to ensure that the Council pays rates that support
market sustainability based on Real Living Wage rates;
 
(ii)           
That the proposed increase in the fee rates, as set out in Appendix
2, be approved for the respective social care services commissioned
by the Council and offered to care providers on condition they pay
the Real Living Wage;
 
(iii)         
That increases to fee rates, as set out in Appendix 3, be approved
to ensure that National Living Wage rates can be paid to staff, be
payable to respective social care services commissioned by the
Council where conditions to pay the Real Living Wage have been
rejected by providers;
 
(iv)         
That the Head of Whole
Life Commissioning be authorised to negotiate rates based on the
Real Living Wage that are not covered by standard rates approved
within this report;
 
(v)          
That, decisions (i), (ii), (iii), and (iv) are replicated in the
deeds of variation applied to existing contracts of commissioned
social care services previously modified to reflect the Real Living
Wage;
 
(vi)         
That, where decisions (i), (ii), (iii), and (iv) require a
modification to the contracts for commissioned social care
services, as listed in Appendix 4 of this to report, in
accordance Public Contract Regulations 2015, Regulation 72(1)(a),
authority is given for the Head of Legal Services to enter into any
deeds of variation to amend existing Contracts as approved under
the Council’s Scheme of Delegation;
 
(vii)        
That all rates and fees are payable by the Council with effect from
1 April 2026 and that where approvals to modify Contracts are made
after this date that one-off payments be made to providers to cover
any increase in rates due to the providers, and yet to be paid,
since 1 April 2026; and
 
(viii)      
That increases to fee rates relating to Together We Care services,
as set out in Appendix 5, be approved.
 

Alternative options considered

This report sets out the fee
rate proposals for social care and support providers in
2026/27 to ensure that the Council implements rates that
support market sustainability based on Real Living Wage rates of
£13.45 per hour.
 
The report confirms the fee
rates it would pay to providers should they reject the Real Living
Wage rates offer for 2026/27.
 
The report also sets out the
fee rates for approval in line with the available budgets approved
by the Council on 4 March 2026, including the impact on the Section
75 pooled budgets, which are agreed in principle by NHS
Cheshire and Merseyside Integrated Care Board (Knowsley) in
accordance with the Section 75 Agreement.