Ellie Ames 22 November 2024

Social care providers ‘at risk of collapse’ amid £2.8bn costs rise

Social care providers ‘at risk of collapse’ amid £2.8bn costs rise image
Image: fizkes / Shutterstock.com

England’s adult social care sector faces extra costs of £2.8bn next year due to changes announced in last month’s Budget, new research has revealed.

Changes to employer national insurance contributions (ENICs) are set to cost the sector more than £940m next year, the Nuffield Trust found.

The national living wage increase will cost providers a further £1.85bn, according to the health and social care think-tank.

The Nuffield Trust warned that if councils were unable to pay social care providers higher fees, many small providers would be ‘at risk of collapse’.

The charity’s deputy director of policy, Natasha Curry, said: ‘Already fragile after a decade of cuts, runaway inflation and the effects of Covid-19, adult social care was in desperate need of relief.

‘But this was a Budget that gave with one hand and took away with the other.’

She warned that while the Government rightly wanted to reform social care, ‘there may be little left of it to reform’.

The chair of the Local Government Association’s community wellbeing board, David Fothergill, called on the Government to fully fund the national living wage and ENIC increases.

SIGN UP
For your free daily news bulletin
Highways jobs

Administration Officer

Durham County Council
Grade 4 £25,583 - £26,824 Pro-rata
WHATS INVOLVED A vacancy has arisen within Business Services for a temporary Administration Officer. You will provide a comprehensive, robust adminis Spennymoor
Recuriter: Durham County Council

Registered Homes Manager

Durham County Council
Grade 14 £50,269 - £54,495 plus £2,500 recruitment/retention allowance and £3,500 market supplement. The salary with additional payments equate to an earning potential per annum of £60,495 at the top of the grade.
Registered Manager – The Beacon Salary
Recuriter: Durham County Council

Cleaner

Durham County Council
£24,796 pro rata
Cleaner  Full time, 37 hours per week, term time only. Salary Grade 1 (£24,796 pro rata)  Permanent subject to a successful probationary period. Requi Durham
Recuriter: Durham County Council

Operations Manager

Durham County Council
Grade 10 £38,220 - £41,771
Help launch County Durham’s newest cultural landmark. Opening in summer 2026, The Light will bring together art, science, history, creativity and com Durham
Recuriter: Durham County Council

Travel Planning Officer

Durham County Council
Grade 9 - £35,412 to £39,152
We have an opportunity available as a Travel Planning Officer to join our Integrated Passenger Transport Team.   WHAT IS INVOLVED? You will work with Durham
Recuriter: Durham County Council
Linkedin Banner