Peterborough City Council to award huge £500 million care contract to service providers

The authority’s cabinet members will meet on July 15 and are asked to approve the award of the contract to the successful bidders who tendered for a place.

The new contract for ‘Care in the Community’ services covers homecare, extra care housing, supported living and specialist community support.

There would be an initial contract period of three years with an option to extend for a period, or further periods, up to March 31, 2035.

A report to be put before the cabinet states: “The importance of commissioning a new contract for these services is to enable the council to continue to manage the sharp increase in demand for services.

“This new contract introduces new capacity which is representative of the cultural needs of the city and supports the council to maintain good quality provision of services which provide the people of Peterborough with choice and control about the care which they receive.”

The lots awarded for the contract include:

Lot 1 – Standard Homecare – total value up to £221,405,445

Lot 2 – Complex Homecare – total value up to £24,600,606

Lot 3 – Standard Supported Living – total value up to £238,791,618

Lot 4 – Complex Supported Living – total value up to £26,533,514

Lot 5 – Extra Care Housing – total value up to £35,535,357

Lot 6 – Specialist Community Support – total value up to £9,760,000

The total contract value for the whole framework up to March 31, 2035 is £570,899,013.

The figures were calculated using projected demand increases in care over the next 10 years, as well as accounting for inflationary uplifts required to sustain the market.

At a council scrutiny committee meeting on July 8, service director for adults and safeguarding, Debbie McQuade, said: “Whilst it is a significant amount of money, it’s over quite a prolonged period of time and probably no more than what we’ve already committed in terms of our budget.”

The contract will become the primary route for commissioning packages of care in the community in Peterborough.

The cabinet report states: “The new contract will deliver the councils corporate strategy through empowering residents to stay healthy and independent for longer.

“This contract will be maintained through a clear uplift strategy which will provide stability for the market and reciprocally for the council through paying fair prices for care.”