A report will go before Cabinet on Wednesday (19 February) with councillors recommended to approve the proposed increase to help sustain the adult social care market.
The hourly rate paid to home care providers, for reablement and home based respite, nursing and residential care providers supporting under 65s, older people and older people with dementia, supported living services, Shared Lives and providers of day care services will rise by 6.6% if the proposals are agreed.
Meanwhile, the agency rate for Direct Payments for adults, carers and children will increase by 6.6%, while the rate for employed personal assistants will rise by 9.91% and self employed personal assistants by 9.33%.
If the proposals are approved, the new fee structure will be introduced on 7 April, 2025.
Councillor Jasbir Jaspal, Cabinet Member for Adults and Wellbeing, said: "Our city's adult social care providers have a vital role to play in supporting our most vulnerable residents, and we are determined to do all we can to support the sector.
"We know that, like other employers, adult care and support providers are continuing to face a perfect storm of rising costs - compounded by inflation and changes to the National Living Wage and National Insurance - along with recruitment issues and so we are pleased to be able to propose these above inflation increases, despite the well documented pressures the council is also facing at this time.
"These proposed increases of between 6.6% and 9.91% for the next financial year follow on from the significant increase in rates we announced for 2023 to 2024 of between 7.45% and 9.79% and 11.85% and 20.36% the year before, demonstrating our ongoing commitment to local adult social care providers."
She added: "Quality of provision across all adult social care sectors has been factored when considering the proposed care fee increases, and this will be monitored through our improved quality assurance processes to ensure we are delivering high quality services across the city, while delivering value for money for taxpayers."
