Care England has launched legal action over the Government’s rise in National Insurance Contributions (NICs) for care providers.
The representative body has instructed Aston Brooke Solicitors to begin a Judicial Review on the imposition of higher NICs rates after the Government last week rejected an amendment to exempt health and care providers.
Professor Martin Green, chief executive of Care England, said: ‘It is clear that the Government is not listening to the sector and has not acknowledged the body of evidence that shows the enormous impact these charges will have on care providers, and their ability to deliver care and support to the citizens who desperately need it.
‘Since it took power, this Government has delivered a series of blows to the care sector and there is a fundamental lack of understanding about the importance of our sector, and its social and economic contribution to local communities.
‘The Chancellor said that she delivered a Budget for growth, but her actions in imposing increases in national insurance contributions will leave many organisations on the brink of bankruptcy. This policy will also make a mockery of the commitment not to increase taxes for working people because many of those hard-working and committed care staff will be without a job because of this policy.'
A Department of Health and Social Care spokesperson said: ‘We inherited an extremely damaged economy, NHS and social care sector. We are turning this around through our Plan for Change and have already taken action to deliver an extra £26bn for health and social care.
‘We've brought in a £3.7bn funding boost, 7,800 new adaptations to help disabled people live independently in their own homes and we are also introducing the first ever Fair Pay Agreement for care professionals.
‘Baroness Louise Casey is leading an independent commission to build cross-party consensus for a National Care Service to build a system fit for the future that is fair and affordable for all.'
Lee Peart is editor of Hemming Group’s Healthcare Management magazine.
