William Eichler 06 March 2019

Council tax rises will not fix ‘chronically underfunded’ care system

Council tax increases will fail to fix the ‘chronically underfunded’ social care system, local authority leaders have warned.

All councils are able to raise council tax by up to 2.99% in 2019/20 to fund local services without the need for a referendum. Some are also able to levy an extra social care precept of up to 2% on top of this.

Research from the Local Government Association has found that 83 of England’s social care authorities are considering or have approved an adult social care precept in 2019/20 with 38 using the full 2% precept.

The adult social care precept rises will raise an extra £197m in total to pay for adult social care services this year which, the LGA calculates, would not even cover the £290m cost of paying for the increase in the National Living Wage.

The LGA has estimated that even if all councils used their council tax flexibilities to the maximum allowed, adult social care services would still face a funding gap of at least £1bn in 2019/20, just to maintain existing standards of care. This figure will rise to £3.6bn by 2025.

‘Extra council tax income for adult social care has been helpful in recent years. For many that option has run out this year and the extra money the rest will raise will do little to prevent those who rely on services seeing the quality and quantity reduce,’ said Cllr Richard Watts, chair of the LGA’s Resources Board.

‘Raising council tax has never been the answer to fixing our chronically underfunded social care system. It has raised different amounts of money in different parts of the country, unrelated to need, and risked adding an extra financial burden on households.’

According to the Chartered Institute of Public Finance and Accountancy (CIPFA), council tax bills are set to rise by 4.5% in England from April—the second highest increase in the last decade.

Designing for cohesion image

Designing for cohesion

Tom Fairey, Development Director at Alliance Leisure, discusses how community spaces can strengthen local connections.
SIGN UP
For your free daily news bulletin
Highways jobs

HGV Driver - Braintree District Council

Essex County Council
Up to £15.6900 per hour
HGV Driver - Braintree District CouncilBraintree, Essex Temporary, on-going 37 hours per week £15.69 PAYE / £20.09 Umbrella Refuse Driver - Join Our E England, Essex, Braintree
Recuriter: Essex County Council

Practice Manager

North Yorkshire Council
£47,181-£51,356 per annum pro rata
The successful candidate will line-manage a small group of multi-disciplinary professionals Scarborough, North Yorkshire
Recuriter: North Yorkshire Council

Specialist Social Worker

North Yorkshire Council
£42,839 up to £47,181 per annum
I am excited to announce significant investment in our children and families service. Harrogate, North Yorkshire
Recuriter: North Yorkshire Council

Supervisor WMF2977e

Westmorland and Furness Council
38,220.00 - 39,152.00
We are recruiting for a 37-hour Supervisor to join our exciting service in Kendal. Kendal, Cumbria
Recuriter: Westmorland and Furness Council

Community Learning and Skills Tutor (Employability, Health and Care) - WMF2976e

Westmorland and Furness Council
£35,412 £35,412
The role will require someone with the ability to adapt quickly and work flexibly to meet local and emerging needs. Barrow in Furness, Cumbria
Recuriter: Westmorland and Furness Council
Linkedin Banner