New research into funding for adult social care published

The Review of Adult Social Care Relative Needs Formulae was commissioned and funded by the Department of Health and Social Care in 2012. It was produced by the University of Kent, the London School of Economics, and LG Futures.

The research was commissioned to:

• look at changes in the mix of services local authorities provide to their residents with care needs
• reflect improvements in data collection and statistical methods

The research proposes a new formula to be used within the local government finance settlement.

It will be considered as part of the government’s review of local authorities’ relative needs and resources, which is led by the Ministry of Housing, Communities and Local Government.

The research includes separate formulae for dividing budgets for 4 specific aspects of the Care Act. These are:

• deferred payment agreements
• early assessments for the cap on care costs
• extension to the means test
• cap on care costs

These formulae were commissioned in 2012 and may need to be revised to reflect the outcome of the forthcoming green paper on adult social care.