29.05.12
Redirecting health budget could fund social care cap
The funding gap for social care in England could be plugged by redirecting elements of the health and welfare budgets into social care, a new report by the Nuffield Trust suggests.
Other recommendations include using NHS under-spend, or restricting access to benefits such as travel concessions for the elderly.
The Dilnot Commission recently proposed introducing a cap on lifetime care costs between £35,000 and £50,000. This would cost an extra £1.7bn each year, which is likely to rise to £3.6bn per year by 2026 due to the ageing population.
Of the £140bn the NHS spends each year on health, welfare and social care for elderly people, only 6% of this is spent on social care.
The Nuffield Trust also highlighted a £1.5bn underspend in the NHS last year, which could be used to fund social care. Means-testing for benefits such as winter fuel payments, travel concessions and free TV licences could also help to plug the gap.
The Government is set to publish its white paper on social care next month.
Report author and chief economist at the Nuffield Trust, Anita Charlesworth, said: “The Government currently spends some £140bn a year on older people. If you were starting with a blank sheet of paper is this the best balance of spending to ensure quality of life, dignity and respect in older age?
“It is imperative that the Government’s planned white paper addresses the underlying funding gap. Failure to address social care funding will put vulnerable older people at risk and increase pressure on the NHS.”
To view the report, visit: www.nuffieldtrust.org.uk/sites/files/nuffield/publication/120529_reforming-social-care-options-funding_0.pdf
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