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.

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

Specialist Employment Adviser – Connect to Work

Sandwell Metropolitan Borough Council
Grade F – £37,280 - £41,771
Support people. Remove barriers. Enable sustainable employment. Sandwell, West Midlands
Recuriter: Sandwell Metropolitan Borough Council

Procurement Contract Officer

Sandwell Metropolitan Borough Council
Band G - £42,839 - £48,226
Sandwell Council is seeking an experienced and motivated Contract Officer to support the effective delivery of Family Hubs Sandwell, West Midlands
Recuriter: Sandwell Metropolitan Borough Council

Finance Development Accountant

Sandwell Metropolitan Borough Council
Band I (£55,609 to £59,025)
Sandwell Council’s Finance Division is seeking a proactive Finance Development Accountant on a full-time permanent basis Sandwell, West Midlands
Recuriter: Sandwell Metropolitan Borough Council

Early Years Workplace Coach

Essex County Council
£29468.00 - £34668.00 per annum
Early Years Workplace Coach - (Apprenticeships & Work Based Learning)Permanent, Full Time£29,468 to £34,668 per annumLocation
Recuriter: Essex County Council

Social Care Practitioner (Mental Wellbeing Service)

The Royal Borough of Windsor & Maidenhead
£26,895 - £30,132 per annum
We have an exciting opportunity for a Social Care Practitioner to join our Mental Wellbeing Service! Maidenhead, Berkshire
Recuriter: The Royal Borough of Windsor & Maidenhead
Linkedin Banner