Budget changes will leave disabled and elderly without care as providers go under, experts warn
Your support helps us to tell the storyFrom reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it’s investigating the financials of Elon Musk’s pro-Trump PAC or producing our latest documentary, ‘The A Word’, which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.Your support makes all the difference.CloseRead moreRachel Reeves’ Budget measures will devastate care providers, leaving vulnerable disabled and elderly people without care next year, healthcare experts are warning.The disastrous scenario could also bankrupt local authorities, care providers say.The rise in employers’ national insurance in April, together with increases in the minimum wage and national living wage, will threaten the future of care companies, according to the Homecare Association, a membership body for care providers.It follows a report by industry analysts LaingBuisson that found a widening gap between the profits of providers reliant on privately paying customers and those of providers dependent on clients funded by the state or NHS.The care sector is especially sensitive to minimum wage changes because care worker pay is among the lowest in the UK, statistics show, and most workers are on low wages.The association says that if care providers fold, the UK risks widespread failure of care provision, which could “leave people without care, overwhelm family carers and cripple NHS services”.The Homecare Association and Care England, which jointly commissioned the report, warned the chancellor, health secretary Wes Streeting and deputy PM Angela Rayner in a letter: “Local authorities could not cope with contract hand-backs or failure of multiple providers.“Councils would have to provide the care themselves. This would cause insolvency of councils.”Councils are already struggling with spiralling costs More