2024-11-28 16:56:03

Social care penalised as people’s wellbeing pays the price

Hft CEO Stephen Veevers on NIC exemption decision

The Government’s decision to raise employer National Insurance Contributions (NICs) to
15%, without exempting charities, is disappointing yet predictable. We know the
Government faces many financial challenges and so, while we anticipated this outcome,
there are real and potentially devastating implications for the social care sector.

Over 7,300 providers of care including Hft, have signed an open letter warning that this tax
rise will cost the social care sector an estimated £2.8 billion a year. This is not just a
number; it reflects a serious impact on people across the UK, from learning disabled
people to older adults, children, and families. The ripple effect of this increase will force
many providers to scale back services, hand back contracts, or close altogether.

Charities like Hft, which support learning disabled people, are already under immense
pressure. The combined effect of rising costs, the National Living Wage increase, and
chronic underfunding in social care is threatening the very survival of vital services. We
fully support the position of ADASS, which has consistently called for fair and adequate
funding. Without this funding, we will struggle to deliver the support people need to live
with independence and dignity.

The Care Provider Alliance’s survey of over 1,180 care providers highlights the devastating
consequences of these changes. Nearly three-quarters of providers report they will refuse
new care packages from local authorities or the NHS, while over half are planning to hand
back existing contracts. A staggering 22% are considering closing entirely, and 64% are
being forced to make staff redundant. The human cost is staggering: hundreds of
thousands of people who rely on homecare, supported living, and residential care are
facing an uncertain future. Reduced services, shortened care visits, and staff cuts are
already becoming a reality, jeopardising the quality of care that so many people draw on.

The upcoming local government settlement presents a critical opportunity for the
Government to prevent a collapse in social care and ensure that providers can continue
their work without further disruption. It is critical that local authorities receive the
necessary funding to cover these rising costs and it is ringfenced to ensure it reaches
providers.

Allocating £600m to social care on one hand, while demanding £2.8billion with the other
simply doesn’t add up. The people we serve deserve to live fulfilling lives, and we cannot
meet that need without proper financial backing.

If the Government can’t exempt charities from these costs, it must provide the funding to
ensure the wellbeing of those we serve. Anything less is simply unacceptable.

 

Notes to editors

For further information please email media.enquiries@hft.org.uk

About Hft

Proudly established in 1962 by a group of visionary parents, Hft is a charity supporting more than 2,500 learning disabled adults in England and Wales. Together, we are creating a future where learning disabled people and their families can live the best life possible.

Providing personalised support. Creating solutions for living independently. Coming together to campaign for positive change. Fundraising for new opportunities and a bigger impact.

In 2033, we’ll live in a world where learning disabled people have greater choice. About where they live. The support they need and want. And how to spend their time and money.

 

Learning disability versus difficulty

 

A learning disability is different from a learning difficulty but the terms are often confused and used inter-changeably. A learning difficulty does not affect general intellect, whereas a learning disability is a life-long condition characterised by a reduced intellectual ability and struggle with everyday activities.

For more information about Hft please visit www.hft.org.uk