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Care Services: Inflation

Volume 690: debated on Monday 19 March 2007

asked Her Majesty's Government:

What is their estimate of the current rate of inflation within the adult social care sector. [HL2028]

The department produces a personal social services pay and prices index, which is a weighted average of estimated changes in pay, prices and capital costs for the sector. The index covers services for children and adults and includes services directly provided by local authorities and services purchased from independent sector providers. The latest year for which the data required to calculate the index are available is the financial year 2004-05. This index was provided to the Health Select Committee in summer 2006. The estimated inflation in the sector in 2004-05 was 4.3 per cent. The department also calculates a separate index for services provided to adults only. In 2004-05, estimated inflation in the adult social care sector was also 4.3 per cent.