Budget 2021: 'Deeply disappointed' after 'nothing announced' in Spring Budget for social care

Leaders from Care England, Right at Home, Age UK and the National Care Forum (NCF) have all reacted with ‘disappointment’ after Chancellor Rishi Sunak failed to offer a long-term support plan with social care in his Spring Budget.

The leaders had been urging the Chancellor to offer a long-term support plan to bear the financial impact the coronavirus pandemic had caused over the last year.

In January, Care England’s Budget submission called for a £7 billion injection into the adult social care sector in line with the Health and Social Care Committee, as well as help with changing and operational costs from the impact of the COVID-19 pandemic. It also wants the Treasury to intervene on insurance and highlighted how employment in the adult social care sector can continue to play a valuable part in the UK’s job market.

Reacting to the Budget announcement, Professor Martin Green, chief executive of Care England, said: "Whilst there are some really welcome policies in the Budget which may in time have tangible impacts upon employment and investment, we are disappointed that social care, the real front line, hasn’t received the support that it so needs so badly.

"This Budget still resembled an emergency one rather than one that provided any long-term assurance for the sector.

“A ten-year plan akin to that of the NHS backed by £7 billion injection into the adult social care would have been a great help to the sector, a sector which is a big part of the national infrastructure.”

'Sector has been ignored again'

Right at Home chief executive Ken Deary said: “It’s very disappointing to hear social care has once again been overlooked in the Spring Budget. Social care reform has been promised for several years now and if the pandemic has taught us anything about the sector, it’s the importance of the role it plays in our local communities.

“We saw the public’s perception of social care change over the summer and there was a much greater appreciation for the role of CareGivers. This makes it all the more disappointing that the sector has been ignored once again today.”

Age UK wants assurances from the government that they will bring forward “concrete proposals” later in the year to “re-engage on its repeated promise” to fix care.

Caroline Abrahams, charity director at Age UK and co-chair of the Care and Support Alliance said: “We are deeply disappointed that no immediate or longer-term support for social care, so badly battered by the pandemic, was announced in the Budget.

“Experts have been warning about the sustainability of many smaller care companies for some time and unfortunately the Chancellor spurned this opportunity to give them a helping hand. The result may well be an upsurge in closures over the next few months, putting more stress and strain on older and disabled people and their unpaid carers, who have already endured so much.”

'There is nothing in this budget for social care'

The NCF is calling on the chancellor and his team to address these short term financial holes in the budget before the support ends on March 31 and the government must immediately outline the detailed timescale for the full-scale reform of social care.

Vic Rayner, chief executive of the NCF said: “There is nothing in this budget for social care. Nothing that acknowledges the massive financial challenges affecting social care provision.

“No recognition of the importance of investing in services that operate at a local level, employ local people and support the most vulnerable members of communities. Not even an acknowledgement of the incredible dedication and commitment of the social care workforce.”

No long-term plan to 'fix social care'

After hearing the Chancellor's Budget speech, opposition leader Sir Keir Starmer said: “Although the Chancellor spoke for almost an hour, we heard nothing about a long-term plan to fix social care. The Chancellor might have forgotten about it, but the Labour Party never will.

“If this had been a Budget for the long-term it would have had a plan. A plan to protect our NHS, a plan to fix social care. But I can tell you this, a Labour Budget would have had the NHS and care homes front and centre. But this Budget is almost silent on those questions.”

Budget 2021: Key points

• Furlough and self-employed support extended

Rishi Sunak said the government's total Covid support package, "this year and next, is £352bn”.

Speaking in the Commons, he told the nation a 100 per cent business rates holiday in England will continue from April until June.

The UK-wide furlough scheme, aka ‘Coronavirus Job Retention Scheme’, which had been due to finish at the end of April, has been extended until September and will continue paying up to 80 per cent of an employee's salary for the hours they can't work, (up to a maximum of £2,500 per month).

Employers will be asked to contribute 10 per cent in July and 20 per cent in August and September.

• Living wage rise to £8.91

The National Living Wage will increase for workers to £8.91 per hour from April.

More support will be given to self-employed workers, who are now eligible for cash grants. Mr Sunak said he is extending the Self-Employment Income Support Scheme (SEISS) to offer more support to struggling self-employed workers. A fourth SEISS grant will be available to claim from April, which is worth 80 per cent of three months’ average trading profits, up to £7,500.

• Business recovery loan scheme

As part of a recovery loan scheme, businesses of any size can apply for £25,000-£10m in loans.

The Chancellor is giving an extra £126m into a traineeship scheme, to pay employers who give people work placements. At the moment, the government pays firms £2,000 per trainee, but this will increase to £3,000 for people of any age.

A new ‘flexi-job’ apprenticeship is being created in England that will enable apprentices to work with a number of different employers in one sector.

• 'Help to grow' scheme

Small businesses will be offered free MBA-style management training to help them boost productivity growth. Under the Treasury's ‘Help to Grow’ scheme, the government will give £520m for free online courses from top business schools.

• Universal Credit

To support low-income households, the Chancellor said he is extending the £20 a week universal credit top-up for six months.