£1m extra for Peterborough adult care providers due to minimum wage increase
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The city council has agreed the additional funding to prevent organisations from running into financial difficulty.
A report outlining the extra annual £1.03 million spend states that an increase in the National Living Wage means “providers will now struggle to absorb the latest increase and this will impact on their commercial viability”.
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Hide AdThe council said “efficiencies” in the sector had previously helped manage inflationary costs.
It added that consultation has taken place with care and support providers and that a failure to act would be detrimental to the standards of care in Peterborough.
In April, care providers in Peterborough and Cambridgeshire were given a 10 per increase in their funding due to costs related to the coronavirus pandemic.
The minimum wage is to increase to £8.91 from April.
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