The chief executive of Healthcare Management Solutions has reached out to the Chancellor of the Exchequer to tackle the biggest financial issues facing the care sector.
Tony Stein, has written to Philip Hammond ahead of his Autumn Budget, in a bid to inform the Government of challenges facing the care industry and suggest radical solutions to the long-term funding issues it faces.
In his letter, Stein highlighted that extra funding from the Government’s Social Care Precept and the Better Care Fund was being used to plug existing gaps in funding, rather than improving services or planning for the future as the population ages.
Stein advised the Chancellor that reducing the amount councils spend on housing-related benefits, by building more affordable housing, could free up much-needed funds for social care. It is hoped that this would also make people better off without the planned rise to the national minimum wage.
Stein explained: “I have written to the Chancellor to tell him that while public expectations of the care sector are understandably very high, the additional resources provided by the Social Care Precept and the Better Care Fund are plugging existing gaps in provision rather than tackling long-term issues.
“The Government needs to understand that by creating the conditions that would allow developers to build genuinely affordable houses, in the region of £100,000 or just under 3.6 times the median annual income, the Autumn Budget could substantially and sustainably cut the expenditure of local authorities on housing benefit. The money saved by councils could then be used to drive up standards of care in the immediate term and invest in future capacity.”