Care & Support West: Urgent Call to Address Social Care Cost Pressures

 

The social care sector is facing an unprecedented financial crisis, and urgent action is needed. Care & Support West (C&SW) has published its latest Cost Pressures Report for 2025/26, which highlights the growing funding gap in adult social care and the severe consequences this could have for providers, service users, and the wider community.

The Growing Financial Strain on Social Care

The report outlines a range of financial pressures impacting care providers across Bath & North East Somerset, Bristol, North Somerset, and South Gloucestershire. Key concerns include:

  • A 6.7% increase in the National Minimum (Living) Wage from April 2025, adding to wage bill pressures.

  • A rise in employer National Insurance Contributions from 13.8% to 15%, along with a lowered threshold for contributions.

  • Local authority settlements that fail to match the real cost increases in the sector, leaving providers struggling to stay afloat.

  • Staff recruitment and retention challenges, exacerbated by recent visa restrictions on overseas care workers.

What’s at Stake?

If these financial pressures are not addressed, the report warns of serious consequences, including:

  • Service disruptions leading to delayed or reduced care for vulnerable adults.

  • Further strain on the NHS, as care providers struggle to support hospital discharges and home-based care.

  • The loss of small and medium-sized care providers, increasing reliance on large, private equity-backed firms that drive up costs.

  • A workforce crisis, with care sector wages unable to compete with other industries.

Proposed Solutions

Care & Support West is calling on MPs, local authorities, and government ministers to take immediate action. The report suggests key measures such as:

  1. Increased funding for local authorities to ensure sustainable provider fee uplifts.

  2. Exempting social care from the NIC increase to reduce financial burdens.

  3. Aligning the baseline wage for overseas care workers with the National Minimum Wage.

  4. Restoring visa rights for dependents of overseas care workers to attract and retain staff.

  5. Long-term workforce investment, including better pay and conditions to create parity with NHS roles.

A Call to Action

With the government planning an independent commission on social care, now is the time for decision-makers to listen to the frontline realities of care provision. The Cost Pressures Report provides the data and insights needed to advocate for real change.

We urge all stakeholders—including MPs, local councils, and care providers—to download and review the full report. Your voice can help push for the funding and policy changes needed to secure the future of social care.

📥 Download the full Cost Pressures Report 2025/26 here