Agenda item

Cllr Rebekah Fletcher, Cabinet Member for Adults, Karen Fuller, Director of Adult Social Services, Victoria Baran, Deputy Director of Adult Social Care, and Level Chingalembe, Head of Social Care Finance Payment Management, have been invited to present a report on the Consultation on proposed changes to Adult Social Care Contributions Policy.

The Committee is asked to consider the report and raise any questions, and to AGREE any recommendations it wishes to make to Cabinet arising therefrom.

Councillor Rebekah Fletcher, Cabinet Member for Adults, Victoria Baran, Deputy Director, and Level Chingalembe, Head of Social Care Finance, introduced a report on the consultation regarding proposed changes to the Adult Social Care Contributions Policy.

The Cabinet Member introduced the report by outlining the scale of financial pressure facing Adult Social Care, with rising demand, increasing complexity of need, and wider reductions in government funding requiring the Council to identify savings whilst continuing to meet its statutory duties under the Care Act 2014. Officers advised that the Council supports over 6,800 adults and spends approximately £330 million per annum on Adult Social Care services.

The report set out three principal proposals. First, reducing the Disability Related Expenditure (DRE) allowance from 35% to 25% of disability benefits, while retaining the ability for individuals to request a full assessment where their actual costs exceed the standard allowance. Secondly, introducing a flat-rate charge of £10 per day for transport arranged by Adult Social Care. Thirdly, introducing a charge for all users of telecare services, increasing from the current £6 per week to the full cost of approximately £9.87 per week.

Officers explained that benchmarking indicated Oxfordshire’s current 35% DRE allowance was significantly higher than most other authorities, and that the proposed 25% rate would align more closely with typical levels of disability-related expenditure. It was emphasised that this would operate as a standard allowance rather than a fixed cap, with individuals still able to undergo a full assessment and receive a higher allowance where their disability-related costs exceed the standard rate.

The proposals formed part of a wider package of measures to address a forecast £5.4 million funding gap in 2026/27 and were expected to generate approximately £0.5 million in that year, rising to around £1.2 million on a full-year basis in future years.

Members sought clarification on the policy intent and justification for the proposals. Whilst Officers emphasised that the changes would improve consistency, fairness, and alignment with national guidance, Members questioned the extent to which the proposals were driven by financial pressures. Officers advised that both factors were relevant, noting that the Council was required to take action to ensure financial sustainability whilst maintaining a lawful and equitable charging framework.

The Committee explored the proposal to reduce the DRE allowance from 35% to 25%, with Members acknowledging the benchmarking evidence that Oxfordshire’s current rate was comparatively generous. However, Members raised concerns that the proposed reduction would represent a tangible financial impact on many service users, citing examples from the report which showed reductions of approximately £11.46 per week for higher-rate benefits and £7.67 for standard rates.

Members questioned whether alternative approaches, including a more gradual reduction, had been fully considered. Officers confirmed that alternative scenarios had been modelled at a high level but advised that the proposed approach reflected the scale and immediacy of the financial challenge. Members noted that limited comparative detail had been provided, which constrained the Committee’s ability to assess proportionality.

A significant part of the discussion focussed on the operation of the revised DRE model. Members sought reassurance regarding the extent to which service users would be required to evidence expenditure. Officers clarified that the proposed model retained a standard 25% allowance which would apply automatically, with individual assessments only required where a person’s costs exceeded that figure.

Members nevertheless expressed concern that this approach would increase reliance on case-by-case assessment and could therefore lead to greater administrative complexity for both staff and service users. Officers acknowledged that individual assessments were more resource-intensive but reiterated that the “top-up” model was intended to balance administrative efficiency with fairness.

The Committee then examined the proposal to introduce a £10 per day charge for transport arranged by Adult Social Care. Members noted that transport provision was already limited to circumstances where individuals could not reasonably access alternative options and queried the extent to which the proposed charge would generate additional income. Officers advised that, in many cases, transport costs could be met through disability benefits or considered as Disability Related Expenditure within financial assessments, meaning that income generation may vary.

Members raised concerns about the potential impact of transport charges on access to services and social participation, particularly where individuals relied on transport to access day opportunities or community support. Officers confirmed that exemptions and discretionary adjustments would remain available where required.

The Committee also considered the proposal to introduce charges for telecare services, noting that approximately 3,500 residents currently used the service. Members acknowledged that telecare provided preventative support but raised concerns regarding the potential impact of increasing charges from £6 to £9.87 per week and extending them to all users.

Members referred to the consultation material which identified mixed evidence regarding the extent to which telecare reduces demand on other services and queried whether the proposals risked creating a false economy if increased charges reduced uptake of preventative support services.  Officers advised that benchmarking indicated such charges were common across other authorities but acknowledged that behavioural impacts and wider system effects were difficult to predict with certainty.

Members also considered the cumulative impact of the proposals, particularly for individuals affected by multiple changes simultaneously, including reduced DRE allowance alongside new or increased charges. Concerns were raised regarding affordability for those just above eligibility thresholds. Officers confirmed that statutory safeguards would remain in place, including Minimum Income Guarantee requirements, and that discretionary adjustments could be applied on a case-by-case basis.

The Committee AGREED to make recommendations under the following heading:

• That Cabinet demonstrates how the proposed policy changes are in line with the Oxfordshire Way.

• That Cabinet demonstrates how the proposed changes would not result in a disproportionate increase in administrative costs or complexity for either the Council or service users and represent an efficient and proportionate use of resources.

• That Cabinet considers the potential disproportionate impact of the proposed telecare and transport charges on more vulnerable groups, and sets out the mitigations or safeguards available, taking into account the risk of additional administrative burden.