URL: https://cardiff.moderngov.co.uk/ieDecisionDetails.aspx?ID=2527

Decision Maker: Director of Adults Services, Housing & Communities

Outcome:

Is Key Decision?: Yes

Is Callable In?: Yes

Purpose:

Content: Appendix E of this report is exempt from publication on the basis that it contains information of the description set out in paragraph 16 of schedule 12A of the Local Government Act 1972   AGREED: that   ·      in line with contractual arrangements, Extra Care and Supported Living providers detailed in Table 1 in paragraph 43 of this report will receive the specified annual contractual Consumer Price Index (CPI) uplift. However, in recognition of Real Living Wage (RLW), if the annual contractual uplift is less than 5.50%, the difference will also be provided, to take the total annual uplift to 5.50%. This figure reflects the RLW uplift on 70% of the contract cost which is understood to relate to staffing. This recommendation only applies to arrangements where the applicable rate of CPI is already known at the time of writing this report.   ·      For those contracts where the CPI uplift is not currently known because the date that it is applied falls later in the year, consideration will be given to the adequacy of the annual CPI uplift to meet RLW costs at that time.   ·      interim support to cover RLW, increases in the form of a grant be authorised to those providers whose contract start date anniversary is after April 1st. This is intended to support the maintenance of the RLW increase during the period from April until the anniversary of the contract start date when the annual uplift will be passed on. The grant will reflect the percentage uplift for RLW attributed to 70% of provider costs which is understood to relate to staffing.   ·      the uplift of 5.50% be authorised for a range of other services as detailed in paragraphs 44 – 46 of this report that takes into account a 2.5% CPI uplift (based on an average CPI rate for 2026/2027 financial year, set out in Table 2 in paragraph 48)  and the percentage uplift for RLW (the difference between the current rate of £12.60 and the new rate of £13.45) attributed to 70% of provider costs which is understood to relate to staffing.   Administration of Uplifts   ·      The uplifts will be administered in line with contractual agreements.   ·      The grant to those providers whose contract start anniversary date is after April 1st, will cover the period 1st April 2026 up to each contract’s start date anniversary when the CPI uplift will be payable.   Variation in Contract   ·      that a Variation of Contract Form be issued to providers in receipt of the RLW (located at Appendix A), in order to secure their agreement to continue to pay eligible staff at least the RLW from 1 April 2026.   ·      make a fair and equitable investment in service provision within available resources, to manage the financial impacts of changing costs and arrangements within the social care sector regarding increases in staff wages related to the implementation of the RLW for eligible social care workers as well as inflationary increases.   ·      seek assurance from providers in receipt of the RLW uplift, that they have continued to pay their eligible staff at least the RLW from 1 April 2026.  

Date of Decision: March 31, 2026