Norfolk County Council has published the Cabinet papers for the 26th January 2026 meeting. The agenda includes two items of keen interest to social care providers: The adult social care fee uplift for 2026/27 and the future of the Norse residential care estate.

Fee Uplift for 2026/27

Fee Uplift for 2026/27: The Council has approved an initial, upfront investment of £13.97m into annual fee increases. This investment is designed to help address the rising costs of care delivery across the county.

Since the initial fee proposal letter was sent out in January there have been some changes. Rather than the initial cross-sector increase of 3.2%, the proposed Home Support, Supported Living, Housing related Support and Day Service rates are now higher ranging from 3.42%- 3.63%, we have copied the table below. In making these changes Norfolk County Council said:

Following consideration of provider feedback and further analysis of cost
pressures across care markets, the Council has revised its approach.
While the initial approach was to apply a 3.2% uplift across all adult
social care services, a more differentiated uplift is now proposed. This
updated proposal better reflects the differing cost pressures and service
models across care types, takes account of benchmarking with other
local authorities, and supports the Council’s role in shaping and
maintaining a stable, high-quality care market.
As a result, the proposed uplift has been increased for home care,
supported living, supported accommodation, housing related support
and day services. These changes respond to concerns raised by
providers and the Norfolk Care Association about the adequacy of the
original offer—particularly in relation to workforce costs and inflationary
pressures.”

The role of Norfolk Care Association: Norfolk County Council acknowledged our significant contributions throughout this process, stating that our insights and provider cost data were instrumental in deliberations, highlighting the pressures regarding workforce costs and operational overheads.

The Financial Gap: While the Council has increased the uplift, Norfolk County Council recognise the feedback from 94% of care providers who stated that current rates do not fully cover the “fair cost of care.”  Providers highlighted the unavoidable cost increases across staffing and operational budgets, and that these pressures are building year on year. Many providers noted that repeated uplifts below cost have reduced financial resilience and increased risk across the market. Several warned that without sufficient funding, providers may be forced to reduce capacity, withdraw from contracts, or exit the market altogether.

Norfolk Care Association advised Norfolk County Council that fee increases in the range of 13% to 36% would be required to meet current fair cost of care estimates, depending on sector and provider specialism. Norfolk County Council has calculated that meeting the lower end of the uplift range suggested (13%) would require an additional £46.7m investment in 2026/27.

Norse Updates

Commitment to Existing Residents: If the proposed sale of NorseCare to Stow Healthcare Ltd takes place, Norfolk County Council guarantee’s that all existing residents (including self-funders) will remain in their homes at the Council’s declared rates.

Future Investment: Norfolk County Council are launching a new tender process in February 2026 for 115 new block contracts (valued at approx. £27.5m over five years) to ensure long-term stability in Norwich, West, East, and South Norfolk.

Read the full cabinet papers here
How You Can Help
We continue to advocate for a sustainable national funding model for adult social care. We encourage providers and stakeholders to:
  • Lobby for change: Contact your local elected members (MPs and Councillors) to share your data on the “fair cost of care.”
  • Engage with us: Continue sharing your cost pressures to help us build a stronger case for Norfolk’s “fair share” of national funding.