Cost Pressures Report 2026/27
Adult social care providers across the Care and Support West region continue to face significant and sustained financial pressures. This annual Cost Pressures report for 2026/27 sets out the real-world cost drivers affecting providers in Bath & North East Somerset, Bristol, North Somerset and South Gloucestershire, and the implications for the sustainability of local care services.
Drawing on direct dialogue with providers and analysis of current funding approaches, the report highlights the widening gap between rising operating costs and the uplifts typically awarded by local authorities. It evidences that most providers will require fee increases of 6–8% simply to maintain current services, with 10–12% needed to restore viability and enable investment.
The report also explores the impact of workforce challenges, Real Living Wage commitments, overseas recruitment costs, and additional regulatory and operational requirements that are not reflected in standard uplift formulae. It sets out the risks to service quality, workforce stability and market sustainability if funding levels continue to fall short of actual costs.
Produced on behalf of the Care and Support West provider network, the report is aimed at local and national decision-makers. It calls for open dialogue and collaborative action to ensure a diverse, stable and high-quality adult social care market that supports people, families and the wider economy.
Download the full Cost Pressures Report 2026/27 to understand the evidence and recommendations in detail.
A note from our CEO
Dear Provider Colleague
Please see the attached 2026/27 Cost Pressures report submitted to your local commissioners on your behalf. It was also sent to your local lead ASC Elected Cllr and your local MPs.
None of the LA’s have announced the fee uplift for 2026/27 yet but word on the street suggests it will be around 3 to 4% as opposed to the 6 to 8% our report says will be needed just to help you stay afloat from a budget point of view.
Can I please encourage you to write individually to each of your Elected Members and MP’s setting out what you will no longer be able to deliver for them if the uplift is anything short of what the report says will be necessary.
Thank you
David Smallacombe --- CEO, Care & Support West