STATE OF CARE: Funding and staffing pressures hit providers’ profits

Consumers Feel The Pinch With Christmas Around The Corner

The financial pressures on social care providers caused by funding and staffing challenges have been laid bare by the CQC.

The latest State of Care report reveals analysis of care providers covered by the CQC’s Market Oversight scheme, which represents around 25% of the adult social care market in England.

Data gathered by the CQC shows providers’ profits fell by one percentage point between September 2016 and September 2018 due mainly to a 9.6% rise in staff costs, driven by a 28% increase in agency use.

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According to the ADASS budget survey 2019, 86% of adult social services directors believed the National Living Wage will be the biggest driver of increases in unit costs of residential, nursing and domiciliary care.

Other cost pressures are being caused by auto enrolment in workforce pensions, a levy on UK employers to fund new apprenticeships and staff shortages.

Kate Terroni, chief inspector of adult social care, said: “Social care has received some additional investment from government over the last few years but that has tended to be short-term. We need a long term commitment to ensure we have stability in the market.”

Tags : FinanceFundingResearchState of Care Report

The author Lee Peart

1 Comment

  1. Funding crisis and the state of adult social care, all are in a dire state and major investment is required in many ways to ensure a continuation of Adult Social Care in any reasonable form.

    Without Social Care the lives of the most vulnerable in the UK Society will be at major risk, therefore the major investment is now and has been for some considerable time a matter of some urgent attention.

    Due to all the problems many providers are seriously considering their continued involvement within Social Care. If a small percentage of these providers decided enough is more than enough, social care will disintergrate and where would health care be then, not in a safe place.

    Social Care can not be left out on a limb, as it is currently.

    My petition

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