22 Apr 2011

NHS Evidence QIPP, case study: Care Funding Calculator


The London boroughs of Barnet and Islington, Southwark, Havering and Harrow have delivered substantial savings in residential care for people with learning disabilities by using a fair pricing tool.
By implementing the Care Funding Calculator (CFC) – a tool developed to prevent councils paying different amounts for similar care packages – local purchasers can better understand the costs for accommodation‐based care. This has allowed them to assess the level of staff support required to meet an individual's needs and agree a price based on relevant market knowledge.
By moving towards different types of accommodation - such as supportive living under a tenancy or enabling users to invest in shared ownership schemes - more individuals have been able to live in their home area rather than being restricted to 'out of borough' residential options. The average saving per PCT area in each London borough was £500,000 mainly achieved through a reduction in the number of high cost residential placements. This equates to almost £200,000 per 100,000 population.
Sarah Hollingworth, Department of Health lead on the initiative, said: "In some councils it is the social worker's responsibility to negotiate costs and terms with care providers – understandably their primary concern is sourcing and arranging the care needed as quickly as possible. By making a strategic shift towards to commissioning other types of living options we have delivered real cash savings, whilst still meeting the needs of individuals."
For more details see the NHS Evidence QIPP collection.