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

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