William Eichler 08 April 2026

Councils cutting services to pay for social care, think tank warns

Councils cutting services to pay for social care, think tank warns image
Adult social care © SeventyFour / Shutterstock.com.

Councils are raiding reserves and slashing non-statutory services to keep pace with a ‘precarious’ social care system, according to The King’s Fund.

The health charity’s latest Social Care 360 report reveals that total expenditure on social care by councils has hit £34.5bn—a 4.1% real-terms increase.

This increase is driven by higher provider fees and the number of people receiving long-term support jumping 3% from 859,000 to 889,000 between 2023/24 and 2024/25.

The King’s Fund reports that council-paid care fees rose in real terms: residential costs hit £1,823 weekly for working-age adults (up 3.6%) and £1,019 for older people (up 3.3%), while homecare rates reached £23.56 per hour (up 3%).

The Chartered Institute of Public Finance and Accounting (CIPFA) data shows usable council reserves fell by 4% in 2024/25 as external debt climbed 10%.

To bridge the gap, councils are cutting budgets for libraries, roads and waste disposal, yet 50% of social care authorities still anticipate needing emergency government bailouts within three years, according to a Local Government Association (LGA) survey.

Simon Bottery, Senior Fellow at The King’s Fund, warned that while more people are receiving vital care, the current trajectory is ‘not sustainable.’

‘We are long overdue a national conversation about how to properly reform social care so that it provides the support people need is organised and is funded in a way that does not put at risk other local authority services and their overall financial health,’ he added.

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

Finance Assistant - Banking, Controls & Reconciliation

Essex County Council
Up to £25081.00 per annum
Finance Assistant - Banking, Controls & Reconciliation Fixed Term, Full Time£25,081 per annumLocation
Recuriter: Essex County Council

Park Operations Assistant

Essex County Council
Up to £25959.00 per annum
Park Operations AssistantPermanent, Part Time£25,959 per annumLocation
Recuriter: Essex County Council

Science Teacher

Durham County Council
£32,916 - £51,048
Science Teacher M1- UPS3 £32,916 - £51,048 Permanent, Full time Required as soon as possible The Woodlands EHN Team is seeking to appoint a qualified Ferryhill
Recuriter: Durham County Council

Hospitality and Catering Instructor

Durham County Council
£27,663 - £37,875 Instructor Scale B
WHAT IS INVOLVED? The team at Aycliffe Secure Centre provide a caring, trauma informed and aspirational environment for young people aged between 10 a Newton Aycliffe
Recuriter: Durham County Council

Lawyer Contracts and Procurement

Durham County Council
£47,181 to £51,356 p.a. (Grade 13)
An exciting opportunity has arisen for a Contracts and Procurement Lawyer to work at Durham County Council as part of the Legal and Democratic Service Durham
Recuriter: Durham County Council
Linkedin Banner