Decision Maker: Assistant Director Partnerships, Early Intervention and Localities
Decision status: Recommendations Approved
Is Key decision?: No
Is subject to call in?: No
Following a price review the below provider
has requested a price increase (uplift) for current placements
which are not agreed via frameworks
The current spot purchase contract in place for these placements
permit inflationary increases subject to a consideration of the
actual costs incurred by the Provider and the need for value
for
money justification.
The provider has demonstrated to the Council justification for the
requested increases citing various reasons which generally relate
to unavoidable cost pressures of inflation, National Living
Wage increase, National Insurance increase, pension costs and cost
of living expenses etc.
These increases will ensure that the provider can continue to
deliver good quality provision.
To agree price increases requested by
providers for legacy or off framework placements.
If unable to agree the price increases, then
placement stability may become an issue, notice could be served
resulting in us having to have additional placements that will be
considerably
higher in cost.
There is a risk that notice is served if the provider is unable to
cover their costs and not able to deliver the provision. A new
placement would need to be identified and sourced for the young
people who are currently in stable homes where outcomes are been
delivered. This would also bring on extra cost as new current
placements that meet the same criteria of these are substantially
higher due to the current market
Publication date: 11/04/2024
Date of decision: 05/01/2024
Accompanying Documents: