Thinktank urges Government to speed up bold reforms for elderly social care

July 14, 2009


Reacting to today’s publication by the Government of the Green Paper ‘Shaping the Future of Care Together’, New Local Government Network’s Director Chris Leslie said:

“Expecting council tax to bear the burden of social care costs for elderly residents in communities across England is no longer tenable and we are glad that Ministers are willing to have a serious debate on how we could fund a proper care service fit for the 21st century. But leaving this debate going and only responding in 2010 is, in our view, too late given the urgency for reform. We would urge Ministers to opt for the bold approach and combine a new ‘social insurance’ model with a comprehensive service, and start the legislative process ahead of a General Election.”

“The care needs for those imminently facing old age are pressing, but so too is the need for the younger generation to wake up and start saving for longer and longer lives. We know that people in their 20s and 30s are deferring pension provision and there is barely a thought given to how we will cover our health and social care needs in our 70s, 80s and 90s.”

“As we advocated in our pamphlet, Better With Age, published in February, too many people face the lottery of ill health and being forced to sell their homes to fund care placement, when care might have been preferable in their own home surroundings. Instead we advocate a combination of gradual social insurance payments by all, supplemented by a chance for the baby-boomer generation to buy into a higher-grade of care options through a Government-backed ‘first charge’ on the equity of their properties, only to be recouped after death. In this way, a new higher quality care ‘guarantee’ could commence in 2030 funded by the compulsory social insurance payments, and until then, retirees would have the choice to commit a small portion of the eventual proceeds of their property to an insurance fund to cover their own-home care costs for the remainder of their lives.”

“The Government have left open the door for radical reform and it is a welcome exercise in honest dialogue with the public, who need to realise that more money – including their own – needs to be earmarked for their care in old age. We would urge Ministers to opt for the radical option and act more swiftly than the current timetable suggests.”


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