Lib Dem Group Leader, Councillor Howard Sykes, writes: “The Local Government Association, with cross party support, has launched a nationwide consultation to kick-start a desperately-needed debate on how to pay for adult social care and rescue the services caring for older and disabled people from collapse following the Government’s failure to act. We can’t wait any longer.
“Years of significant under-funding of councils, coupled with rising demand and costs for care and support, have combined to push adult social care services to breaking point.
“Since 2010 councils have had to bridge a £6 billion funding shortfall just to keep the adult social care system going. In addition the LGA estimates that adult social care services face a £3.5 billion funding gap by 2025, just to maintain existing standards of care, while latest figures show that councils in England receive 1.8 million new requests for adult social care a year – the equivalent of nearly 5,000 a day.
“Short-term cash injections have not prevented care providers reluctantly closing their operations or returning contracts to councils and less choice and availability to a rising number of people with care needs. This is increasing the strain on an already-overstretched workforce and unpaid carers, and leading to more people not having their care needs met.
“Increased spend on adult social care – which now accounts for nearly 40 per cent of total council budgets – is threatening the future of other vital council services, such as parks, leisure centres and libraries, which help to keep people well and from needing care and support and hospital treatment.
“At this point I want to say a special “thank you” to Councillor Richard Kemp, our lead on the LGA’s Community Wellbeing Board, for all his work in helping the LGA get to this point. He has done the rounds of the TV and radio stations on behalf of the LGA Liberal Democrat Group. Richard has been instrumental in raising the profile of the issue inside and outside the party on behalf of local government.
“The LGA eight-week consultation therefore sets out options for how the system could be improved and the radical measures that need to be considered given the scale of this funding crisis. Possible solutions to paying for adult social care in the long-term outlined in the consultation include:
- Increasing income tax for taxpayers of all ages – a 1p rise on the basic rate could raise £4.4 billion in 2024/25, (similar to what we pushed for at the last general election so I am extremely pleased to see this included in the paper)
- Increasing national insurance– a 1p rise could raise £10.4 billion in 2024/2
- A Social Care Premium – charging the over-40s and working pensioners an earmarked contribution (such as an addition to National Insurance or another mechanism). If it was assumed everyone over 40 was able to pay the same amount (not the case under National Insurance), raising £1 billion would mean a cost of £33.40 for each person aged 40+ in 2024/25.
means testing universal benefits, such as winter fuel allowance and free TV licences, could raise £1.9 billion in 2024/25 - Allowing councils to increase council tax – a one per cent rise would generate £285 million in 2024/25
“The consultation – the biggest launched by the LGA – is seeking the views of people and organisations from across society on how best to pay for care and support for adults of all ages and their unpaid carers, and aims to make the public a central part of the debate. The LGA will respond to the findings in the autumn to inform and influence the Government’s green paper and spending plans.
“The LGA green paper – alongside funding issues – also seeks to start a much-needed debate about how to shift the overall emphasis of our care and health system so that it focuses far more on preventative, community-based personalised care, which helps maximise people’s health, wellbeing and independence and alleviates pressure on the NHS.”
“I urge you to encourage as many people and organisations to join the debate, the more that do, the more likely the Government will listen.
“Please find below a template email that can be sent out to your local MP and any other relevant local organisations. We also thought you would find the below press release useful too.”