Tag Archives: social care
Crisis in social care costs Britain over £5bn a year
Crisis will get worse, charities warn
Wednesday 26 September 2012
Britain’s fragile economy is losing more than £5bn a year as a result of a growing crisis in social care funding aggravated by the Government’s austerity measures.
People are giving up an estimated £4bn in pay – cash that would have been channelled back into the economy – because they are being forced to leave work to care for elderly or disabled relatives. The Treasury is also missing out on £1bn of taxes they would otherwise have paid, while carers are claiming some £300m in benefits to help cover their living costs.
The “missing” £5.3bn is equivalent to more than 0.3 per cent of Britain’s gross domestic product, charities warned last night. More than 300,000 people quit work in 2010-11 to look after relatives – and the number is increasing because of continuing cuts to care budgets, they said.
The extent of the losses to the economy was disclosed in a report from Age UK and Carers UK, building on work by the London School of Economics. They said the problem would worsen unless ministers reversed cuts to town hall budgets that were affecting services, and finally acted to settle the long-term funding of social care.
