In the Prime Minister’s Pinewood Studios speech, he pledged to reduce NHS waiting lists but ignored social care. As Lord Darzi pointed out, the NHS depends on a functioning social care system. Difficulties in accessing care and support lead to an increase in unplanned hospital admissions and delays in discharge. This results in longer waiting times for NHS treatment. Given this, the Labour government's neglect of social care is baffling; indeed, it is actively dismantling it.
The Autumn Budget has left homecare providers facing a 10% increase in employment costs. Unlike other business sectors, most care providers cannot pass on extra costs to customers. This is because councils and NHS bodies purchase 80% of care and support services and fix the prices. Councils are short of money and cannot increase fee rates for services enough to cover the rising costs.
Care and support providers are now staring into a financial abyss. Survival requires drastic measures for many. These include not taking local authority or NHS work; handing back contracts; making staff redundant; or ceasing to trade.
Without urgent government action, we risk widespread failure of many providers, particularly those serving the state-funded market. This would have severe consequences:
- Reduced access to essential care and support services for people in need
- Increased burden on families and unpaid carers
- Greater pressure on NHS services; including more hospital admissions, more delayed hospital discharges and longer NHS waiting lists
Decline in availability and quality of care and support services will make the government’s aspirations for the NHS very hard to achieve.
Dr Jane Townson OBE, CEO of the Homecare Association said:
“The Prime Minister has promised to reduce NHS waiting lists. This is not possible whilst decimating social care services, on which the NHS depends. The UK now risks widespread failure of care provision in the wake of the Autumn Budget. Providers face a 10% increase in employment costs which they cannot cover because the fee rates they receive from councils and the NHS are too low. Loss of services will leave people without care; overwhelm family carers; and cripple the NHS. The Labour government will pay a high price for ignoring social care."
We call on the government to:
- Invest at least £2.8 billion in the care sector to mitigate these risks. Evidence shows that every £1 invested saves £3 in longer-term costs across the health and care system.
- Exempt care providers from changes to employer's national insurance contributions.
- Ensure a multi-year funding settlement for social care to meet future demand and cover the full cost of care (estimated £18.4 billion needed by 2032/33)
- Implement a National Contract for Care service that sets a minimum price for care services. This will ensure public sector commissioners pay the full cost of quality care.
[ENDS]
Notes to Editor
The Homecare Association is the UK’s membership body for homecare providers, with over 2,200 members nationally. Its mission is to ensure homecare receives the investment it deserves, so all of us can live well at home and flourish win our communities. The Homecare Association acts as a trusted voice, taking a lead in shaping homecare, in collaboration with partners across the care sector. It also provides hands-on support and practical tools for its members. The Homecare Association's members agree to abide by the Association's Code of Practice.
