Smarter operations are no longer optional for care providers By Abbey Milne, Social Care Lead at Sona
In April 2022, the Health and Care Worker visa gave care providers a vital lever to manage critical workforce gaps. Today, with that route potentially closing under the current Labour government, providers are once again staring down the barrel of staffing instability.
The stakes couldn’t be higher. Social care already has more than 150,000 vacancies and the cost of keeping teams in post is soaring. In 2025 alone, providers are preparing for up to a 10% increase in labour costs, driven largely by the rising National Living Wage and higher National Insurance contributions. If overseas recruitment is restricted, it further limits access to an already strained talent pool.
International hiring has become indispensable for many organisations, particularly in filling roles domestic candidates often avoid due to pay, hours or perception. Without that option, providers may have no choice but to increase reliance on agency staff, a far more expensive and disruptive alternative. Some shifts cost up to 30% more via agencies, eroding continuity of care and team cohesion.
To understand the true scale of the challenge and the emerging strategies to navigate it, our latest industry report offers crucial insights. A provider with £100 million in income is now facing more than £5.5 million in new staffing costs, including a £7 million increase in wages and £5 million more in NI outgoings.
Layer on top the implications of the Employment Rights Bill, predictability pay, tougher rules on scheduling and zero-hours contracts and the landscape becomes even more complex.
The result? Higher costs, lower flexibility and more administrative strain.
Legacy cost-cutting options, slashing perks, lobbying councils, shrinking care teams, simply don’t work anymore. With compliance expectations growing and quality standards still non-negotiable, there’s little room left to compromise.
Forward-looking providers are already adapting. Instead of reacting, they’re rethinking. Digital transformation is no longer a nice-to-have, it’s a necessity.
The most progressive organisations are using smart systems to make their staffing models smarter.
In-house shift marketplaces are reducing agency reliance dramatically. Some organisations have cut agency spend by 38% within just a month of rolling out internal scheduling platforms.
Geo-fenced time tracking and integrated payroll tools are helping reduce overpayments and cut redundant admin, translating into savings of up to £4.2 million per year.
Real-time data and intelligent scheduling are making it easier to align staffing levels with commissioned care hours, saving up to 5% of total labour spend, or around £3 million annually.
With end-to-end systems that connect Scheduling, HR and Payroll, providers are also seeing major time savings. Automating back-office functions is freeing up hundreds of hours a year, time managers can reinvest in leadership, training and care quality.
This isn’t hypothetical. Advinia, a residential care provider with over 4,000 employees transformed their internal scheduling and reduced their weekly agency bill from £40,000 to £16,000. That’s a six-figure annual saving, money that can be redirected to frontline care.
A recent report from Hft and Care England showed that one in three providers is now considering exiting the market due to escalating costs. But for those ready to evolve, there is another path, one that’s more resilient, more sustainable and more empowering for teams.
This is a decisive moment. Providers embracing digital operations now won’t just stay afloat, they’ll lead. Those waiting on policy to shift are gambling with their future.
At Sona, we believe the sector deserves more than survival. The organisations investing in smarter systems today are the ones who will redefine what sustainable, high-quality care looks like tomorrow.
