News

27.07.18

Unfunded care cap could have ‘catastrophic’ effects on council services

An un-costed cap on social care introduced for local services could have “catastrophic” repercussions for community care, with costs soaring as high as £691m a year, council chiefs have said.

In a new report released today, the County Councils Network (CCN) said if the government was to introduce a care cap— meaning a limit would be placed on the amount people in England would have to pay towards their social care— the costs passed onto local authorities annually could be as high as £691m if Whitehall does not supply mitigation funding.

Last year the government postponed its planned £72,000 care cap for those using social care. But the upcoming green paper, which is expected to include a new cost ceiling, could cap care at the original £72,000— which the CCN argues would set back councils by £330m annually if it is not fully funded.

Worse still, if the government implements a £50,000 cap on care, this would cost county authorities collectively £691m a year.

The CCN noted that the cap could be funded by national taxation and means-testing of winter fuel allowance to avoid “catastrophic consequences” for local services.

The report said: “Government could protect individuals and their families from catastrophic care costs by introducing a cap and threshold model. This is an approach that CCN supports and that government has stated will be included in the green paper in some shape or form.

“Given the difference in the cost of living that exists nationally and regionally, the introduction of a cap on care would have a differing impact upon CCN member councils. It is likely that in those areas where the cost of living is higher, that a client would reach a cap on care and come into local authority funded care more quickly than in areas where the cost of living is lower.

“As such, any funding settlement from government would need to take such impacts into account to ensure that reforms are fully funded and equitable.”

CCN spokesman for health and social care and leader of Hertfordshire County Council Cllr David Williams said county areas are withstanding some of the greatest financial and demand-led pressures in social care, with these pressures only to intensify in the coming years.

“Faced with these current pressures, and an elderly population that is projected to increase to unprecedented levels in rural areas, financial reform for the system and protection for individuals from huge costs are necessary,” he added.

“That is why we are backing a cap on care cost contributions – but this must be fully costed for local authorities, otherwise it will have catastrophic consequences as it pushes under-pressure social care services to the brink of collapse.”

Enjoying PSE? Subscribe here to receive our weekly news updates or click here to receive a copy of the magazine!

Image credit: fzant, iStock images

Comments

There are no comments. Why not be the first?

Add your comment

 

public sector executive tv

more videos >

latest news

View all News

comment

The digital buying community is live

12/11/2018The digital buying community is live

Many of the requirements from buyers posted on the Digital Marketplace were... more >
A force to be reckoned with

12/11/2018A force to be reckoned with

The South Bank plan, which refers to a number of investments and proposed a... more >

editor's comment

25/10/2017Take a moment to celebrate

Devolution, restructuring and widespread service reform: from a journalist’s perspective, it’s never been a more exciting time to report on the public sector. That’s why I could not be more thrilled to be taking over the reins at PSE at this key juncture. There could not be a feature that more perfectly encapsulates this feeling of imminent change than the article James Palmer, mayor of Cambridgeshire and Peterborough, has penned for us on p28. In it, he highlights... read more >

last word

The importance of openness after Grenfell

The importance of openness after Grenfell

Following the recent Grenfell Tower tragedy, Lord Porter, chairman of the LGA, argues that if the public are going to have faith in the safety testing process then everything must be out in the open more > more last word articles >

interviews

New Dorset Councils CEO on the creation of a new unitary: ‘This is going to be the right decision for Dorset’

05/11/2018New Dorset Councils CEO on the creation of a new unitary: ‘This is going to be the right decision for Dorset’

The new chief executive of one of the new unitary authorities in Dorset has... more >

the raven's daily blog

Re-energising citizen engagement

10/12/2018Re-energising citizen engagement

Could smart cities and social media be the perfect match? Simon Dennis, director of artificial intelligence and analytics innovation at SAS UK, reports.  Politi... more >
read more blog posts from 'the raven' >

public sector events

events calendar

back

December 2018

forward
mon tue wed thu fri sat sun
26 27 28 29 30 1 2
3 4 5 6 7 8 9
10 11 12 13 14 15 16
17 18 19 20 21 22 23
24 25 26 27 28 29 30
31 1 2 3 4 5 6

featured articles

View all News