How to grow your care agency business in 2026

The financial pressure on homecare agencies isn't theoretical anymore.

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Local authority rates average £16-21 per hour. The Homecare Association's minimum viable rate is £32.14. That gap isn't sustainable, and 63% of providers have already handed back contracts because of it.

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Private pay clients aren't a nice-to-have growth strategy. For most agencies, they're the path to financial stability. Private rates (£25-38/hour) and healthier margins (15-25% vs 3-8% for LA contracts) mean you can reinvest in your team, improve care quality, and build a business that doesn't operate on paper-thin margins.

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This guide focuses on how to build a private client base, supported by the operational foundations that make private pay delivery sustainable.

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1. Build your private client base deliberately

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Private clients choose you. Local authority clients are assigned to you. That difference shapes everything – from how you attract them to how you deliver care.

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What private clients expect:

• Continuity of care – ideally the same carers, or at least a small, consistent team
• Responsive communication – with the agency and visibility into what's happening during visits
• Flexible scheduling – care that adapts to their life, not rigid time slots
• Premium service quality – they're paying more and they know it

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These aren't unreasonable expectations. They're operational requirements that determine whether private clients stay with you or switch providers.

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Where private referrals come from:

• Direct enquiries from families researching care online
• Word of mouth from existing clients and their families
• GP practices where you've built credibility as a reliable provider
• Hospital discharge teams looking for responsive, quality-focused agencies
• Local community networks – Age UK, dementia support groups, carers' centres

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Unlike LA referrals, private clients take time to convert. They're making an emotional, high-stakes decision, often for a parent or spouse. They'll research multiple agencies, read reviews, and scrutinise everything from your website to how quickly you return phone calls.

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Start here:

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Track where your current private clients came from. If you have five or more, there's a pattern. That's where you double down.

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If you're starting from scratch, prioritise your website (section 5) and one local referral relationship (section 3). Private client growth compounds – each happy client becomes a referral source.

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For a step-by-step framework, download the Winning Private Clients handbook. It covers pricing strategy, operational readiness, and proven tactics from agencies who've made the shift successfully.

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2. Use technology that private clients expect

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Private clients and their families have different expectations around visibility and communication than local authority contracts.

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They want to know when carers arrive, what happened during visits, and how their loved one is doing. That level of transparency isn't optional – it's what they're paying for.

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What this looks like in practice:

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A private client's daughter wants to see visit notes, know her mum took her medication, and get alerts if something changes. She doesn't want to call your office three times a week for updates.

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This is where a Family App becomes commercially important. It gives families secure access to visit information, care notes, and wellbeing updates. It reduces admin burden on your office team and builds trust with the people paying your invoices.

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For your internal operations, private clients require better continuity planning. That means:

• Scheduling systems that match the same carers to the same clients consistently
• Digital care plans that update instantly when a client's needs change
• Real-time alerts when issues arise so you can respond before families notice
• Quality evidence through tools like Birdie's Q-Score, which turns your care delivery data into a CQC-aligned quality rating

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Agencies using integrated platforms like Birdie typically see 20% more care hours delivered after one year, driven by better retention, fewer missed visits, and stronger referral flow from satisfied families.

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The difference between a good system and a stitched-together set of tools becomes obvious when you're managing the expectations of paying families. They notice when information doesn't flow smoothly.

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Start here:

Ask three private client families: "How could we make it easier for you to stay informed about [client name]'s care?" Their answers will tell you exactly where your systems are letting you down.

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For a detailed comparison of platforms built for private client delivery, see our guide to the best care management platforms for 2026.

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3. Build partnerships that generate private referrals

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Local authority contracts come through procurement frameworks. Private clients come through trust.

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That means the partnerships that matter most aren't with commissioners – they're with the people that families turn to when they first start looking for care.

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Where to focus:

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GP practices – GPs are often the first professional contact when a family recognises they need help. Position your agency as the practice's preferred homecare provider. Offer to present at practice meetings, respond quickly when GPs raise concerns about shared patients, and make it easy for them to recommend you.

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Hospital discharge teams – private clients often enter homecare after a hospital stay. Discharge teams need agencies that can start quickly, communicate clearly, and deliver reliably. Be that agency.

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Community organisations – local branches of Age UK, Alzheimer's Society, carers' centres, dementia cafés. These are where families go when they're researching options. Build relationships, offer to speak at events, and be visible in the places that matter.

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Solicitors and financial advisors – families arranging care often work with solicitors on Power of Attorney or financial advisors on funding care. These professionals recommend agencies they trust. Introduce yourself, explain what makes your service reliable, and stay in touch.

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What makes you referable for private clients:

• Proven quality – CQC Good or Outstanding, client testimonials, evidence of care outcomes
• Responsiveness – you return calls quickly and start care without unnecessary delays
• Transparency – families know what they're paying for and what to expect
• Consistency – same carers, reliable scheduling, continuity that private clients pay for

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Agencies using tools like Q-Score can demonstrate quality in real time, making referral conversations more credible.

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Start here:

Identify one GP practice or community organisation where you could realistically build a referral relationship. Reach out with a specific offer to help, not a sales pitch.

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4. Invest in carers who can deliver private client expectations

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Private clients pay for premium service. That doesn't mean fancy brochures – it means carers who deliver consistent, high-quality, person-centred care.

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The gap between good care and excellent care is often continuity. Private clients want to see the same faces, not a rotating cast of strangers. That means your staff retention matters more than recruitment.

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What supports private client delivery:

• Manageable caseloads – carers can't deliver continuity if they're stretched across 15+ clients per week
• Skills that match client needs – if you're serving private clients with dementia, your team needs proper dementia training, not just e-learning modules
• Career progression – your best carers stay when they see a future (Senior Carer, Care Coordinator, Team Leader)
• Recognition and pay – private client margins allow you to pay your team better. Use that advantage.

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Agencies that invest in structured development typically see measurable improvements in care quality, client satisfaction, and carer retention. All three drive private client growth.

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Start here:

Survey your carers. Ask: "What would help you deliver better care to our private clients?" Their answers will be specific, practical, and cheaper to implement than another recruitment campaign.

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5. Make your online presence convert enquiries

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Private clients research you before they call you. Your website, Google presence, and online reviews are your first impression, and often your last chance.

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When someone searches "homecare [your area]," they're not browsing. They're trying to solve an urgent problem, usually for someone they love. Your online presence should answer their questions quickly and build enough trust for them to pick up the phone.

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What private client families need to see:

• Clarity – what you do, where you operate, how to contact you (phone number visible, not buried)
• Credibility – CQC rating, client testimonials, evidence that you deliver what you promise
• Transparency – what private care costs (even a range helps), what's included, what to expect
• Reassurance – families making this decision are scared. Your website should feel calm, competent, and human.

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What doesn't work:

• Stock photos of hands holding hands
• Vague claims about "outstanding care" without evidence
• Hidden contact details or complex enquiry forms
• Websites that don't work on mobile (most searches happen on phones)

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Social media matters less than you think for private client acquisition, but consistency helps. Regular posts showing your team, explaining your approach, or sharing care advice build familiarity over time.

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Google My Business is essential. It controls what families see when they search for homecare in your area. Keep it updated, respond to reviews (especially negative ones), and post updates regularly.

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Start here:

Get someone outside your business to visit your website and answer three questions:

1. What does this agency do?
2. How much does it cost (roughly)?
3. How do I contact them?

If those answers take more than 10 seconds to find, fix them this week.

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For tactical guidance on improving your online presence, watch our webinar series: Get found on Google in 30 minutes, Build a website that convinces new clients, and Set the right rates and communicate your value.

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6. Price for sustainability, not just competitiveness

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Private client pricing isn't about undercutting competitors. It's about covering your costs, delivering quality, and building a sustainable business.

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The cost reality:

• Homecare Association minimum viable rate: £32.14/hour
• Average LA rates: £16-21/hour
• Private rates in most markets: £25-38/hour

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If you're pricing private care below £25/hour, you're leaving margin on the table or not covering your true costs. If you're above £35/hour, you need to justify that premium with demonstrable quality or specialist expertise.

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Private clients care about value, not price. They'll pay more if they understand what they're paying for: continuity, responsiveness, quality carers, peace of mind.

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Use Birdie's cost benchmarking tool to understand where your costs sit relative to industry averages. That data makes pricing decisions less guesswork and more strategy.

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Start here:

Calculate your true cost per hour of care (staff pay, travel time, NI, pension, overheads, admin). Add your target margin (15-20% is realistic for private work). That's your baseline rate. Anything below it isn't sustainable.

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Why private pay drives sustainable growth

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Local authority contracts may always be part of your mix, but relying on them exclusively is increasingly risky.

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Private clients offer:

• Better margins (15-25% vs 3-8% for LA contracts)
• Control over pricing and how you define your service
• Less admin burden (no complex LA reporting requirements)
• Financial stability through diversified revenue
• Ability to reinvest in quality, technology, and your team

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The agencies growing sustainably in 2026 are the ones building private client bases deliberately, supported by technology and operations that deliver the continuity and quality private clients expect.

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Next steps:

• Download the Winning Private Clients handbook for a complete framework on attracting and retaining private clients
• Watch How to attract private clients – a practical webinar with actionable strategies
• Read In Flight Magazine: How to grow your private client base for down-to-earth advice from successful providers
• Attend Birdie's Winning Private Clients events in March 2026 to learn from agencies who've made the transition successfully

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Related resources:

• Case studies: agencies growing with private clients
• Operational excellence: using data to support private client delivery
• Growing care businesses: technology built for private client expectations

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