Yesterday, Rachel Reeves announced that charities will not be exempt from National Insurance increases. Here are the implications and next steps for social care. 👇
The situation 📍
Over 7,300 providers of care, including Hft, have signed an open letter warning that this tax rise will cost the social care sector an estimated £2.8 billion a year.
We fully support the position of Association of Directors of Adult Social Services (ADASS), which has consistently called for fair and adequate funding. Without this funding, we will struggle to deliver the support people need to live with independence and dignity.
The Care Provider Alliance’s survey of over 1,180 care providers highlights the devastating consequences of these changes.
- Nearly three-quarters will refuse new care packages from local authorities or the NHS.
- Over half are planning to hand back existing contracts.
- 22% are considering closing entirely.
- 64% are being forced to make staff redundant.
Allocating £600m to social care on one hand, while demanding £2.8billion with the other simply doesn’t add up. The people we serve deserve to live fulfilling lives, and we cannot meet that need without proper financial backing.
Next steps 👣
The upcoming local government settlement presents an opportunity for the Government to prevent a collapse in social care. It is critical that local authorities receive enough funding to cover these rising costs and that it is ringfenced to ensure it reaches providers.
If the Government can’t exempt charities from these costs, it must provide the funding to ensure the wellbeing of those we serve. Anything less is simply unacceptable.
What can I do? 💡
1. Keep the conversation going! At the risk of repeating ourselves, we need to continue to apply the pressure and keep this topic in the public eye. Share this post and spread the word!
2. Read our full statement here: https://loom.ly/JdxT6zg
#NationalInsuranceIncrease #CharitySector #SocialCare
Executive leader
1wThis is catastrophic for social care providers and the people that desperately need their support. The underfunding of social care has been going on for decades but successive governments seem to ignore the crisis. Meanwhile more and more people continue to go without the support they desperately need. Something has to change!