Adult social care 2020/21

Adult social care precept

The Local Government Settlement for 2020/21 has given powers for local authorities with adult social care responsibilities to raise Council Tax above the referendum limit by up to 2%. The income generated by this is ring-fenced specifically for adult social care.

There is no information on whether this power will be extended beyond 2020/21 and the MTFS therefore assumes that there won’t be any further adult social care precept increases in future years.

Improved Better Care Fund Grant

The Improved Better Care Fund grant is distributed to authorities with social care responsibilities based on a formula that considers need and Council Tax raising ability.

As part of the Chancellor’s spring Budget back in March 2017, further funding for authorities with adult social care responsibilities was announced. This took the form of an additional Improved Better Care Fund Grant.

The government requires both grants to be pooled in the Better Care Fund but used for adult social care purposes. This means that decisions on how the money is spent are made jointly with the NHS Clinical Commissioning Group (CCG) in Devon. The government has set out detailed improvements it expects to see including targets in relation to Delayed Transfers of Care (DTOC). Indications are that if targets are not met then grants could be reduced, or direction imposed on how they are to be spent.

For 2020/21 the government has announced that the original Improved Better Care Fund Grant will continue along with the year 3 element of the Additional Improved Better Care Fund Grant. The Winter Pressures Grant has also been rolled into this funding stream.

The table below sets out the value of the three grant elements:

17/1818/1919/2020/2121/22 and future years
£m£m£m£m£m
Original improved better care fund0.210.219.719.719.7
Additional improved better care fund15.210.25.05.05.0
Winter pressures0.00.03.63.63.6
Total15.420.428.328.328.3

No announcement has yet been made on the level of grant the authority can expect beyond 2020/21. The MTFS assumes the grant ongoing at £28 million, but this is far from certain.