William Eichler 27 January 2025

Tax hike threatens to add to nursing home costs

Tax hike threatens to add to nursing home costs image
Image: PeopleImages.com - Yuri A / Shutterstock.com.

The Government has been urged to reverse its hike in national insurance on care providers as new figures reveal the extent to which nursing costs for pensioners have increased over the past decade.

Analysis of House of Commons Library data by the Liberal Democrats has found that local authorities are spending £53,352 a year in nursing costs per pensioner.

This is up more than £24,000 on 2015/16’s level of £29,276 a year and represents an 82% jump in total.

In 2015/16 nursing care costs paid by councils per pensioner were £563 a week. As of 2023/24 that number stood at £1,026 a week.

Referring to the increase in NICs, Lib Dem Treasury spokesperson, Daisy Cooper MP, said it was disappointing that the Government has decided to ‘ram through this self-defeating jobs tax’.

‘Councils providing care are already warning that their budgets are in turmoil and this tax rise will only make it more expensive, stretching their finances even further,’ she said.

‘Instead of heeding these warnings, the Chancellor has pushed ahead with this foolish tax hike and Ministers risk repeating the Conservatives' mistakes of kicking the can down the road on desperately needed social care reform.’

A Department of Health and Social Care spokesperson said: ‘We are making available up to £3.7bn extra for local authorities next year. We are also investing in an extra 15,000 home adaptations to support disabled people to stay in their homes and raising the carers allowance.’

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

Administrative Support Assistant

Durham County Council
Grade 4 £25,583 - £26,824
Are you organised, proactive, and great at building relationships? Do you enjoy keeping things running smoothly behind the scenes? This is your chance Durham
Recuriter: Durham County Council

Positive Journeys Support

Durham County Council
Grade 5 - £26,403 - £28,598
We’re expanding our Positive Behavioural Support Team in County Durham and currently have one 26-hour over 4 days, 32.5 Hours at our Chester-le-street Barnard Castle
Recuriter: Durham County Council

Class Teacher- SENCO

Durham County Council
£32,916- £45,352
Class Teacher- SENCO M1-M6 + TLR2b (£5,869) £32,916- £45,352 (+£5,869) Permanent, Full Time Required to start September 2026   Framwellgate Moor Prima Durham
Recuriter: Durham County Council

Class Teacher

Durham County Council
£32,916
Classroom Teacher M1 (£32,916) Full time - Fixed Term contract until 31st August 2027 Required to start 1st September 2026 pending DBS clearance.   Th Durham
Recuriter: Durham County Council

Building Repairs and Minor Works Technician

Durham County Council
£30,024 to £33,699 p.a. Grade 7
An exciting opportunity has arisen for an office based role, Building Repairs & Minor Works Technicians, to join our existing Repairs and Maintenance Durham
Recuriter: Durham County Council
Linkedin Banner