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.’

SIGN UP
For your free daily news bulletin
Highways jobs

Housekeeper/Domestic Assistant/Cleaner -Longlands

West Northamptonshire Council
12.90ph
Longlands Care home provides exceptional levels of support in nursing, residential and Dementia care. It is situated in Daventry, and it offers a wonderful living environment in which our residents can enjoy an enhanced quality of life. We have te Daventry
Recuriter: West Northamptonshire Council

Maintenance Operative

North Yorkshire Council
£29,064 - £38,220 pro rata per annum
Are you a Maintenance Operative looking to further develop your skills and experience within a construction/repairs environment? Harrogate, North Yorkshire
Recuriter: North Yorkshire Council

Painter and Decorator

North Yorkshire Council
£29,064 - £34,434 per annum
Are you someone who takes pride in making spaces feel welcoming, safe, and cared for? Harrogate, North Yorkshire
Recuriter: North Yorkshire Council

Joiner

North Yorkshire Council
£29,064 to £38,220 per annum
Are you a skilled Joiner seeking an opportunity to enhance your expertise? Harrogate, North Yorkshire
Recuriter: North Yorkshire Council

Highways Development Management - Principal Engineer

Kirklees Metropolitan Council
£45,091- £47,181
At Kirklees, we are seeking to appoint a motivated, enthusiastic and organised Principal Highways Engineer Kirklees, West Yorkshire
Recuriter: Kirklees Metropolitan Council
Linkedin Banner