Agency Price Cap

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Why price caps have been introduced and context

The price caps are intended to support trusts when they procure workers from agencies and to encourage staff to return to permanent and bank working. They should enable trusts to manage their workforce in a more sustainable way, reduce growing reliance and expenditure on agency staffing, raise clinical quality and improve the working environment for their staff.

Monitor and TDA recognise that trusts and foundation trusts need support to fill permanent positions. The Chief Nursing Officer for England and Health Education England (HEE) have developed workforce programmes for increasing the supply of staff in the short to medium term.

Monitor and TDA also recognise that trusts and foundation trusts need support to make the best use of their existing workforces. The price caps are intended to work alongside long-term planning to increase retention, training and recruitment of NHS staff, and ongoing support on workforce planning and rota management. Monitor and TDA will continue to work with trusts to better understand their approach to managing agency staffing, to benchmark them against best practice and support them to improve workforce management, including retention of substantive staff.

Please contact agencyprojectsupport@monitor.gov.uk or TDA.Workforce@nhs.net for more information on the support available.

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