UK Government Plans £500m Fair Pay Agreement for Adult Social Care Workers

The UK government has announced a £500 million investment to establish the first-ever Fair Pay Agreement (FPA) for adult social care workers, with a new negotiating body set to be established in 2026 and the agreement expected to take effect in 2028. This initiative aims to improve recruitment, retention, and recognition for care workers by negotiating better wages and conditions, forming part of broader reforms including a National Care Service and increased funding for training and career development. The Local Government Association (LGA) supports the FPA but stresses the critical need for full government funding to ensure success and sustainability, warning that unfunded costs could worsen existing pressures on councils and providers. However, sector experts like the Nuffield Trust caution that the funding, which is not new money, is insufficient and will not arrive until 2028, potentially compromising the sector's financial stability and the effectiveness of the agreement. NHS Employers welcomed the announcement as a positive step, emphasizing the importance of ongoing partnership between government, employers, and trade unions to build a sustainable pay and reward system. Overall, while the FPA is recognized as a necessary and positive move to support care workers, concerns remain about adequate funding and addressing deeper systemic challenges in social care provision.