The Government has announced a £500 million investment for the first fair pay agreement for adult care workers, alongside a public consultation on its implementation.
An Adult Social Care Negotiating Body responsible for negotiating pay and terms in England will be established in 2026, with the first fair pay agreement (FPA) set to come into effect in 2028. Wales and Scotland will have separate negotiating bodies and therefore different FPAs.
Cllr Dr Wendy Taylor, Chair of the LGA’s Health and Wellbeing Committee, said: “The care workforce plays a fundamental and valued role in supporting people who draw on social care, and action is needed to tackle long-standing serious recruitment and retention challenges.
“Pay is crucial to this, and we support the ambition to deliver an FPA for care workers. However, councils will be seriously concerned that this is not matched by a commitment from central government to fully fund the output of the negotiations.
“The LGA has long called for investment in care workers’ pay, but without full funding from central government, neither councils nor providers will be able to absorb the level of likely costs involved. If costs do fall on the sector, they will compound existing pressures and the consequences of those pressures for people drawing on care and those providing it.”
The government consultation on a fair pay agreement for adult social care closes on 16 January 2026.