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Better Care Fund policy framework 2025 to 2026

The Better Care Fund (BCF) policy framework for 2025 to 2026 sets out the BCF objectives, funding allocations and conditions with the goal of:

  • providing more care closer to home
  • increasing the focus on prevention so that people are living healthier and more independent lives
  • harnessing digital technology to transform care

To support a stronger focus on helping people stay independent for longer and reducing the risk of needing to spend time in hospital or long-term residential care, the government is requiring all Health and Wellbeing Boards (HWBs) to set local goals for maximum levels of unplanned hospital admissions, delayed hospital discharges and long-term care home admissions. Furthermore, as part of the national conditions for administering the BCF, the framework states that HWBs should use the BCF planning process to agree the important changes they will make in how they deploy their pooled BCF resources, including consulting with housing authorities and with Integrated Care Boards in the design and delivery of the services funded; in particular, to deliver on two specific objectives. These are:

Objective 1: reform to support the shift from sickness to prevention

Local areas must agree plans that help people remain independent for longer and prevent escalation of health and care needs, including:

  • timely, proactive and joined-up support for people with more complex health and care needs
  • use of home adaptations and technology
  • support for unpaid carers.

With  the BCF’s specific reference to adaptations and technology, it will therefore be of interest to anyone who has followed our TAPPI programme.

Objective 2: reform to support people living independently and the shift from hospital to home

Local areas must agree plans that:

  • help prevent avoidable hospital admissions
  • achieve more timely and effective discharge from acute, community and mental health hospital settings, supporting people to recover in their own homes (or other usual place of residence)
  • reduce the proportion of people who need long-term residential or nursing home care.

With regard to the funding allocation for 2025 t0 2026, the government has also confirmed the BCF funding streams for the NHS, local government (social care) and housing, as follows:

  • Minimum NHS contribution = £5.614bn
  • Local Authority BCF grant funding = £2.640bn
  • Disabled Facilities Grants = £711m (a £86m uplift from 2024/2025)

Lastly, as highlighted on our Health Intel webpages, the Housing LIN curates a range of dedicated pages that provide examples of housing support local health systems.