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Reducing Agency Spend Without Compromising Care Quality

7 min read
For Employers
June 2026 · Giusto Care Recruitment

Agency staffing is one of the largest variable costs in a care home's budget — and for most providers, it is also one of the least strategically managed. The result is a cycle of reactive booking, unpredictable quality and costs that are difficult to control.

Reducing agency spend does not mean cutting corners. It means being smarter about how, when and from whom you buy agency staffing. The following strategies work — but they require a shift from reactive to planned management.

Why agency costs spiral in care settings

Agency spend tends to be highest when:

  • Shifts are booked at short notice (same day or 24-hour notice attracts premium rates)
  • Your home uses multiple agencies without a preferred supplier arrangement
  • You accept whoever is available rather than requesting known workers
  • High staff turnover increases your baseline dependency on agency cover
  • Bank staff are not maintained or incentivised to remain available

CQC data suggests that care homes with the highest agency spend also tend to have higher rates of staff-related incidents. The correlation is not coincidental — unfamiliar staff, however compliant, take time to get up to speed in any setting.

The false economy of the cheapest agency

The instinct to choose the agency with the lowest headline rate is understandable. But the true cost of an agency placement includes more than the hourly rate. It includes:

  • The time your manager spends vetting, inducting and monitoring unfamiliar workers
  • The hidden risk of inadequately checked or poorly matched staff
  • The cost of rectifying poor care outcomes — whether that is a resident incident, a CQC concern or a complaint
  • The disruption to team morale when agency staff do not meet the standard your permanent team works to

A slightly higher rate from an agency whose workers are properly vetted and clinically assessed often costs less in total — because the placement goes smoothly, the worker needs less supervision, and the risk of incident is lower.

Ask your agency this

Who personally assesses your workers before placement? If the answer is "we check their certificates," that is not an assessment — that is compliance administration. At Giusto Care, every worker is interviewed and clinically assessed by a registered nurse before any placement.

1. Build an approved pool of agency workers

Rather than accepting whoever your agency sends, request the same workers repeatedly and build an approved pool. Workers in this pool already know your home, your residents and your procedures — reducing induction time and improving consistency.

Most reputable agencies, including Giusto Care, support this model. Use our client portal to request specific workers by name for upcoming shifts.

2. Plan further ahead — even with fluctuating rotas

Booking agency staff 48–72 hours in advance rather than on the day can reduce your effective cost per shift, because agencies reserve emergency-rate premiums for genuine same-day calls. Many care homes have some predictable agency requirements — known leave, recurring gaps — that could be filled in advance at a standard rate.

Review your rota planning cycle. If you are regularly booking agency on a Monday morning to fill weekend gaps, you are paying more than you need to.

3. Work with a preferred supplier

Using multiple agencies without structure generates inefficiency: each agency relationship requires management, each worker is unknown, and there is no leverage to negotiate on rates or consistency.

A preferred supplier arrangement — even an informal one — gives you better rates, more reliable coverage and a partner who understands your home. When an agency knows it is your primary supplier, it prioritises your shifts and invests in knowing your needs.

4. Reduce last-minute bookings through better absence management

Same-day and emergency bookings are the most expensive form of agency use. While some will always be unavoidable, many are the downstream consequence of absence management problems:

  • Absence notification processes that reach managers too late to plan
  • Bank staff lists that are out of date or not proactively managed
  • No clear escalation policy for when bank staff are unavailable

A clear, documented absence-to-agency process — with someone accountable for initiating the booking before the shift starts — can meaningfully reduce same-day bookings within weeks.

5. Audit your usage quarterly

Most care homes do not have a clear picture of their agency usage: which roles they fill most frequently, which shifts attract highest costs, and which agencies deliver the best-quality workers. A simple quarterly audit — agency hours by role, cost per shift, incident rate for agency vs permanent staff — creates the data needed to make better decisions.

If your agency cannot provide you with a clear monthly summary of hours and costs, that is itself a red flag.

What to ask a new agency before using them

  • Who interviews and assesses workers before placement — and what is their background?
  • How do you verify DBS certificates — do you use the Update Service?
  • How do you handle a situation where a placed worker does not meet expectations?
  • Can I request specific workers for repeat placements?
  • What does your compliance documentation look like — can I see an example worker pack?
  • What is your process for same-day emergency cover?

If you would like to discuss a preferred supplier arrangement with Giusto Care, or find out more about how we can support your staffing needs, get in touch — we are happy to talk through your specific requirements without any obligation.

Done!