Changes to charging for adult social care services

We are consulting on proposed changes to the Draft Adult Social Care Charging Policy. These changes are designed to provide a strong base in which to embed future changes in social care legislation and aim to improve the way we calculate how much some people pay towards the cost of their adult social care services.

Background

The existing Adult Social Care Charging Policy was written in 2009 with an update in April 2015 to coincide with the introduction of the Care Act.

A working group reviewed the current policy and identified areas for modernisation and change. All changes have been considered according to national charging issues, legislation, and recent judgements on similar issues. We have also considered the financial impact on people using services as well as any projected changes in charging income for the Council.

All changes to the Draft Adult Social Care Charging Policy meet the legislation set out in the Care Act 2014.

Principles

The changes we are consulting on will help us to ensure we are able to continue providing a sustainable social care service. We have used the following key principles to guide the change:

• We will adopt a simple, efficient, cost-effective financial assessment and income collection process.
• People will not be charged more than it is reasonably practicable for them to pay.
• The charging rules will be fair and equitable to reduce variation in the way people are charged.
• People will be given clear information about charging and how their contribution has been calculated.
• Advice on how to claim welfare benefit entitlements will be made available to people and carers.
• The charging arrangements will reflect the actual cost of services.
• The policy will contribute to the sustainability of Adult Social Care in Southend.

We are consulting on the following four areas of recommended change:

1 Full Cost Recovery

Recommendation: Implement a model of full cost recovery, which means that the Council will seek to recharge at the same rates it pays care providers.

• Under the current policy the Council is not recharging people who receive care at the same rate as it pays care providers.
• This means the council is partially subsidising the cost for people who pay the full cost of their care or those who have a high assessable income (typically large pensions/other income).
• Making this change in policy would mean that some people would see an increase in the amount they are charged although this would never be more than they could afford to pay based on charging legislation.
• Making this policy change could save the Council around £219,000 per year.

2 Disability Related Expenditure

Recommendation: Strengthen the criteria around Disability Related Expenditure allowances and ask for evidence to substantiate a claim for Disability Related Expenditure to ensure people are not claiming items which are general living costs.

• Disability Related Expenditure is the cost a person incurs due to their age or disability and this forms part of the non-residential financial assessment.
• This expenditure is in addition to an allowance in every assessment for general living costs which is known as the Minimum Income Guarantee.
• The Council asks the person or their representative to complete a financial circumstances form detailing their disability related costs but does not currently ask for any evidence.
• It is likely that in some cases people are claiming for items such as laundry, clothing and bedding etc. without realising that some of these form part of everyday living costs.

3 Arrangement Fees

Recommendation: Introduce the policy charging arrangement fees for new and existing people receiving non-residential care who have savings over the full cost limit. This is permitted under the Care Act 2014 and is a cost incurred by the Council when arranging care.

• The Care Act permits the council to charge arrangement fees for people with needs, who have assets above £23,250 and ask the council to arrange their non-residential care services, although the Council does not currently implement this fee.
• The cost to the Council in doing this are estimated to be around £150 for arranging care (one off) and then an additional £65 per year (ongoing) which relates to invoicing costs.
• Implementing arrangement fees to cover these costs would lead to increased income for the Council of around £39,000 per year.
• However approximately 193 people who currently receive care would see an increase of £65 per year.

4 Minimum Income Guarantee

Recommendation: The Council should not increase the Minimum Income Guarantee and should continue to follow the Care Act 2014 guidance until such time that this legislation is changed.

• The non-residential assessment includes a fixed allowance for standard living costs, known as the Minimum Income Guarantee. It is based on rates set by the Department of Health.
• A recent judgement against Norfolk County Council has led to many authorities reviewing their charging policies around the Minimum Income Guarantee.
• It is important to note that the judgement in Norfolk did not provide a clear directive on the Minimum Income Guarantee as the case was complex and included other issues.
• The working group explored options which involved increasing the Minimum Income Guarantee but discovered that in doing this the Council would be spending significant amounts of income (ranging from £270k to over £1m) depending on the option chosen.

We want to hear what you think about these options. The consultation will run from 16th May 2022 until 22nd August 2022.

To give your views:

• Log onto Your Say Southend https://yoursay.southend.gov.uk where you can find out about the consultation and complete the electronic survey.
• Phone the Charging Comment Line on 01702 215934 between 10am-12pm, Monday to Friday from 16th May to 22nd August 2022 (Answerphone out of hours.)
• Send your response by email to financepolicyconsultation@southend.gov.uk.
• Take part in the on-line public consultation meeting scheduled over two days dated Click here to join on the 25th May 2022 between 10am to 12noon and Click here to join on the 8th June 2022 between 10am to 12noon.
• Write a letter to: Charging Consultation, Community Services Department, Civic Centre, Victoria Avenue, Southend-on-Sea, SS2 6ER.
• EasyRead documents are in the documents pages on the right top side of this page and also via email or post to above contacts, available on request.
• Public meetings.
  Venue: The Haven Community Hub, 138-140, Hamlet Ct Rd, Westcliff-on-Sea, Southend-on-Sea, Westcliff-on-Sea SS0 7LWRoom: 2
  Date: 29 June 2022
  Time: 9am to 12noon
  
  Venue: Shoeburyness & Thorpe Bay Baptist Church, 90 Thorpedene Gardens, SS3 9JD
  Room: Small Lounge
  30 June 2022
  Time: 9am to 12noon
  
  Venue: Eastwood Baptist Church, Nobles Green Rd, Leigh-on-Sea, Southend-on-Sea, Leigh-on-Sea SS9 5PY
  Room: Lower Hall
  Date: 01 July 2022
  Time: 1pm to 4pm
  
  Venue: Belfairs Methodist Church, Eastwood Rd N, Leigh-on-Sea, Southend-on-Sea, Leigh-on-Sea SS9 4NG
  Room: Main Hall
  Date: 04 July 2022
  Time: 9am to 12noon

All views and comments are confidential and will only be used for the purpose of the consultation exercise. There will also be an opportunity to post any other comments publicly for other survey participants to view and respond to if you wish to do so.

Views from this consultation will be presented to the Councils Cabinet.

The closing date for responses to this consultation is **22nd August 2022**.

To read about how the Council handles your data please visit our Privacy notice: Southend-on-Sea Borough Council Privacy Notice