DHSC:ASC Fair Pay Agreement Negotiation Support Fund

The government’s manifesto committed to establishing Fair Pay Agreements (FPAs) in the Adult Social Care (ASC) sector – aimed at improving pay, terms and conditions, and other related employment matters for the ASC workforce, by introducing a new form of sectoral collective bargaining. The Employment Rights Act 2025 (ERA) provides the legislative basis for this, and negotiations are expected to start in April 2027. In order to ensure negotiations are as successful as possible, ministers have approved a £321k Negotiation Support Fund (NSF) to support the sector prior to the start of negotiations. This fund is seen as key for mitigating delivery and handling risks associated with this top Government priority for ASC.