UKHCA

United Kingdom Homecare Association
The professional association for homecare providers

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UKHCA Media Release

'Giveaway' Budget gives too little to social care - 30/10/2018

Yesterday the Chancellor of the Exchequer, Rt Hon Philip Hammond MP, presented a 'giveaway' Budget to Parliament, following lower than expected Government borrowing costs.

The announcements included a 4.9% increase in National Living Wage from April 2019, and additional social care funding but homecare providers were disappointed that this was short term and not enough.

United Kingdom Homecare Association's Chief Executive, Bridget Warr CBE, said:

"We are pleased that care staff will be better rewarded - their work should attract a much higher payment. However, where homecare is commissioned by the state, meeting the increased wage-related costs will absorb a significant part of next year's £650 million "extra" grant funding for councils to spend on social care.

"Our Homecare Deficit report highlighted that at least £402 million more a year is needed to ensure careworkers receive the NLW and providers can meet their statutory obligations, and £921 million to pay the Real Living Wage, at this year's rates. So the extra money may marginally assist in closing the deficit, if it is all spent on frontline services as intended.

"But we believe the money will give providers little scope to improve the terms and conditions of skilled and dedicated care staff and help move them towards the Real Living Wage, nor meet the needs of the estimated 1.4 million people with care needs currently being denied support. We will be conveying these messages to Government in the run up to the Green Paper and spending review."

Ends.

Notes for Editors

1. United Kingdom Homecare Association (UKHCA) is the professional association for more than 2,000 domiciliary care providers in Great Britain and Northern Ireland.

2. The "Homecare Deficit 2018" is available at: www.ukhca.co.uk/downloads.aspx?ID=589#bk1

3. The Chancellor announced additional social care funding of £650 million for 2019/20 for local authorities in England in the Budget on 29 October 2018. Chancellor's speech: https://www.gov.uk/government/speeches/budget-2018-philip-hammonds-speech and the Red Book (page 75): https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/752202/Budget_2018_red_web.pdf

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