Laura Sharman 14 May 2020

Councils face £10bn funding 'black hole'

Councils could be forced to cut billions from social care services due to £10bn 'coronavirus black hole', Labour has warned today.

The analysis, based on 2019/20 budget estimates, warns that local authorities may need to cut adult social care by £3.5bn, which could see 225,000 people lose care this year.

The funding shortfall could also means £2bn cuts to children's social care and £700m from public health budgets, Labour said.

Labour’s shadow communities and local government secretary, Steve Reed, said: 'Local authorities are the biggest funders of social care in England – so when the Government promised to stand behind councils through this crisis Labour supported them.

'But now ministers are breaking that promise, leaving councils with a £10bn black hole forcing 21% cuts across the board. Unless the Government drops those plans the frontline heroes we’re cheering today will lose their jobs tomorrow and the equivalent of 225,000 frail and frightened older people and vulnerable adults will lose the support they rely on.

'That would be a catastrophe for social care, disastrous for those who lose support as providers are forced out of business, and would once again fail the very people putting their lives on the line to get us through this crisis.'

Already cash-strapped following a decade of austerity, councils now face fighting a national crisis on a basic budget with their financial futures left in the balance. Heather Jameson reports.

SIGN UP
For your free daily news bulletin
Highways jobs

Community Safety Service Manager

Bristol City Council
£72,878 - £80,741
We are seeking a highly motivated and experienced community safety expert to join our senior leadership team. Bristol
Recuriter: Bristol City Council

Pre-School/Nursery Assistant

Essex County Council
Up to £25959.0000 per annum
Pre-School/Nursery AssistantFixed Term, Part Time£25,959 per annum (full time equivalent)Location
Recuriter: Essex County Council

Vocational Trainer - Health and Social Care - North Essex

Essex County Council
£29468 - £34668 per annum
Vocational Trainer - Health and Social Care - North EssexPermanent, Part Time£29,468 to £34,668 per annum (full time equivalent) Location
Recuriter: Essex County Council

Social Care Officer

Durham County Council
Grade 6
Durham County Council
Recuriter: Durham County Council

Safeguarding Team Manager

Durham County Council
Grade 14 - £50,269 - £54,495
We are seeking a highly motivated and enthusiastic Safeguarding Team Manager to lead an operational team within Adult Services. This pivotal role over Spennymoor
Recuriter: Durham County Council
Linkedin Banner