The value of the original Section 75 Agreement for the CYP Drug and Alcohol Service was
£1.1 million (2.9 months). The Section 75 Agreement has been extended twice and as the
service is delivered by an NHS provider it has received NHS agenda for change uplifts (staff pay awards) throughout the term. The total value of the Agreement over the extended term is £2.8 million. It is recommended that this base level of funding from the core Public Health Grant is maintained in any new agreement with the following values over 7 years. It should be noted that the Service has not received any inflationary uplifts in the course of this Section 75 excepting the NHS Agenda for Change uplifts. Commissioners have worked with the Provider to manage the pressures, but they are under ongoing review.
Annual base value £459,721
Total base value: £3,218,047
This excludes any additional Agenda for Change uplifts.
The value of the current CGL contract for the initial 5.5-year term was £26.8 million and with the additional 2-year extension adding £9.7 million. This is funded from the core Public
Health Grant. The total value of the current core contract is £36.7 million over 7.5 years with a current annual value of £4,853,000. The contract variations over the course of the 7.5-year contract total £6.3 million primarily due to the additional Drug Strategy funding. The total CGL contract value over the full 7.5- year contract term (including all variations) is £43 million. If the national drug and alcohol grants end in March 2025 this would mean a total reduction of income into the local treatment system of £1.7 million annually in Cambridgeshire. To put this into context the core commissioned treatment service contracts cost is £5.3 million per annum in Cambridgeshire (CYP and Adult) so the additional grant income represents a significant portion of the treatment system spend. This means that the improvements associated, and described above, with the additional grant funding are at risk of being eroded. Included in this total contract value is additional funding from the Office of the Police and Crime Commissioner and the Probation Service have provided low value funding for cocommissioning elements of the current adult Drug and Alcohol treatment service. Over the past three years (including 2024/25) this funding totals £480,000, continuation of these grants has not been confirmed beyond 31 March 2026. There is uncertainty around the funding allocation for the adult Drug and Alcohol Services
due to lack of formal confirmation about continuation of the additional national grant
funding. However, it is recommended that the core Public Health Grant funding is
maintained at the current value over seven years, irrespective of any currently unknown
additional grant funding. As with the CYP Service the Adult Service has not received any
inflationary uplifts over the course of contract and pressures have been managed but they
are under ongoing review.
Annual base value £4,754,638
Total base value: £33,282,466
This excludes any additional Agenda for Change uplifts (if the new provider is an NHS
organisation).