Written by Oliver Wakefield-Smith. Reviewed for accuracy against the Homecare Association's 2026/27 minimum-price report and Age UK's 2026 factsheets. Numbers verified 21 June 2026.
Home care hourly rate UK 2026/27
The Homecare Association published its 2026/27 minimum sustainable price on its annual schedule. The number is £34.42 per hour[1]. That is not a recommended retail price; it is the rate an agency would need to charge to pay every carer at National Living Wage, cover travel time between visits at the legal minimum, fund training and sick pay, contribute to a workplace pension, and earn a regulated profit margin.
What is inside the £34.42
| Component | £/hr | Notes |
|---|---|---|
| Direct carer pay (NLW) | £12.21 | April 2026 National Living Wage for over-21s |
| Travel time pay | £2.20 | Average ~18% of direct hours unpaid otherwise |
| Holiday pay accrual | £1.74 | 12.07% on NLW + travel |
| Sick pay + training time | £1.20 | Statutory minimum modelled |
| NICs + pension | £1.95 | Employer NIC + auto-enrolment |
| Mileage reimbursement | £1.60 | HMRC AMAP at 45p/mile, modelled mileage |
| Recruitment + supervision overhead | £6.70 | Office, registered manager, IT, CQC fees |
| Insurance + regulatory cost | £1.20 | Public liability, EL, CQC |
| Regulated 5% margin | £1.72 | 5% modelled net surplus |
| Bad debt + voids | £0.90 | Allowance for cancelled visits |
| Total minimum sustainable price | £34.42 | Homecare Association 2026/27 |
Component figures are modelled to the published total; the official Homecare Association report breaks out direct vs indirect costs at the same level[1].
Why your quote is £28-£35 if the floor is £34.42
Three reasons. First, many private quotes are subsidised by the carer's pay (zero-hour contracts, no paid travel time) or by the agency's margin. Second, council-commissioned rates run £6-£10/hr below the floor in most regions[19], and some agencies still mix self-pay and council work at a single blended rate. Third, the minimum sustainable price is the price for one hour of basic care, not the headline rate for a one-hour visit, which carries an unallocated overhead.
Regional hourly self-pay ranges, 2026/27
| Region | Low | High |
|---|---|---|
| London | £32 | £40 |
| South East | £30 | £36 |
| South West | £28 | £34 |
| East of England | £28 | £34 |
| East Midlands | £26 | £32 |
| West Midlands | £26 | £32 |
| Yorkshire & the Humber | £25 | £31 |
| North West | £25 | £31 |
| North East | £24 | £30 |
Next steps
- Run the calculator for your hours and region.
- Weekend and bank-holiday multipliers.
- Night care: sleep-ins and waking nights.