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.

SIGN UP
For your free daily news bulletin
Highways jobs

SETDAB Senior Communications Officer

Essex County Council
£37435.0000 - £44041.0000 per annum
SETDAB Senior Communications OfficerFixed Term, Part Time 28 Hours Per Week£37,435 to £44,041 Per Annum Full Time EquivalentLocation
Recuriter: Essex County Council

SEL Fostering Hub Programme Manager

Royal Borough of Greenwich
PO6 (£54,267 - £57,402)
The role will provide strong programme management oversight, ensuring projects are well planned, effectively delivered London (Greater)
Recuriter: Royal Borough of Greenwich

Complaints Resolution Officer - Basildon Borough Council

Essex County Council
£25.0000 - £28.0000 per annum
The Complaints Resolution Officer is responsible for managing and investigating complaints and Housing Ombudsman cases within a social housing environment, ensuring all cases are handled fairly, thoroughly, and in accordance with the Housing Ombudsman Com England, Essex, Basildon
Recuriter: Essex County Council

Housing Support Officer (Trainee)

Royal Borough of Greenwich
Scale 5 - £32.535 - £33.987
You will work as part of a dedicated team providing the first point of contact for our customers London (Greater)
Recuriter: Royal Borough of Greenwich

Senior Financial Advisor

Mansfield District Council
£35,570 - £40,444 per annum
The role of Senior Financial Advisor is an important role within the Financial Services team. Mansfield, Nottinghamshire
Recuriter: Mansfield District Council
Linkedin Banner