18 September 2006

Comment 30 March 2006

The cost of care Two-thirds of council spending goes on education and social services, so the people who ought to be protesting most against council tax rises are childless residents under the age of 65, not pensioners. While one has every sympathy with pensioner groups complaining about rises on behalf of their members, the reality is that one of the prime causes for the above-inflation council tax increases is demographic, ie, the increasing demands of the elderly on council care services. So, instead of pensioners complaining about having to pay more because they use more, their lobbying groups might be better off ensuring that ministers and Sir Michael Lyons come up with a more transparent and fairer funding system. The public are scarcely aware who funds social services. And it is plainly unfair expecting the elderly to effectively shoulder the burden of meeting their own rising costs out of their dwindling pensions. This, like the NHS or unemployment benefit, is one of those costs that has to be borne nationally – and by all age groups – not geographically by the elderly. In the meantime, the relentless pressure for councils to spend more goes on. Just take this week. As reported in our news pages, Birmingham MP John Hemming has called for the city council to boost the pay of its social workers, rather than recruit them from Poland to fill a shortfall. The Wanless Report calls for more funding for elderly care services. The Royal National Institute for the Blind wants councils to install more safety equipment, even though this is not statutory. In the circumstances – and considering the financial havoc in the NHS – an average 4.5% rise in council tax this year is not half bad. Pension PR The town hall unions face a PR battle that makes the labours of Hercules look like washing the car on a Sunday afternoon, if they are to persuade the public of the merits of their pensions campaign. So let’s run through the message again. Private sector workers face having to work possibly to 67 and have no guarantee their pension will be worth anything anyway. Town hall workers have a defined benefit pension which is guaranteed, because their employers can’t go bust. And they want it to carry on taking effect from age 60, while private sector workers, who are funding it, face at least a further five years in work. That’s some public relations challenge. Has anyone got Alastair Campbell’s number?
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