Policy Updates 5th September 2022
The following policy updates have been curated from the week commencing 5th September 2022.
Care England Press Release: It’s time to fulfil the promise to ‘fix social care’
Professor Martin Green OBE, Chief Executive of Care England, says:
“The adult social care sector is under extreme pressure. Long-standing workforce and funding issues have been exacerbated by the cost-of-living crisis, set to worsen in coming months. Care England has delivered a blueprint of immediate action to the new Government to start the re-stabilisation of the sector which current Government support packages have failed to do for energy, workforce, and funding. This is essential to prevent widespread market collapse and to help commence the journey towards a sustainable future for the sector given 45% of providers in the South East are considering exiting the market.”
Care England has written to the Prime Minister and her new Cabinet to detail the issues facing the adult social care sector and outline some immediate solutions that would help reprimand ongoing pressures. Care England calls on the new Prime Minister to implement the following key asks as soon as possible:
The introduction of a per-bed energy price cap equivalent to the proposed domestic energy price cap or the reimbursement of providers for the increased energy costs incurred by other means.
The extension of the £400 energy rebate to vulnerable people in care and supported housing, introducing parity in the way they are treated compared with those living in their own homes.
The removal of VAT and the Green Levy on energy bills.
Zero rate VAT with immediate effect to inject £350m directly to the frontline.
Directing a greater share of the money generated through the Health and Social Care Levy towards the adult social care sector.
Implement the recommendations of the Levelling Up, Housing and Communities Committee report and commit to addressing existing inequalities through increased funding to the adult social care sector.
To address the concerns raised in the Health and Social Care Committee’s recent reports at pace.
To commit to a long-term workforce strategy for adult social care which aligns pay and benefits with the NHS and local authority-run services.
To remove with immediate effect the charges made by the Home Office and for the full reimbursement of recruitment costs by providers for overseas recruitment.
Wider measures have also been suggested. On 30 August, Corin Dalby, founder and CEO of Box Power, urged ministers to ‘consider reducing the country’s voltage supplies as that could reduce the energy going through the system as well as shave significant amounts of money off people’s bills’. This has the potential to achieve a 5-7% saving in energy costs and represents a potential instant solution to current energy pressures.
Further, Care England reported that more control needs to be exerted over the National Grid and its unnecessary burning of coal when exporting electricity to France, which increased profits over the summer for National Grid and VAT to the Treasury, at the cost to the UK consumer who could have seen electricity bills reduced by up to 63% this summer instead.
Martin Green continues:
“It is time that the Conservative manifesto promise to ‘fix social care’ is taken seriously and finally actualised under this new leadership. Providers are still recovering from the effects of the COVID-19 pandemic, and against the backdrop of the cost-of-living-crisis, chronic underfunding, and the absence of a long-term workforce strategy, these will culminate to be the straw the breaks the camel's back. Adult social care can only survive with the necessary support from central Government, without which it will face total collapse. We are continuing to find opportunities for the Government to take advantage of, yet little has been acted on. Change is needed, and it is needed now, to protect some of the most vulnerable members of society.”
Care England Press Release: High electricity prices cry a scandal
Professor Martin Green OBE said:
“This report presents a national scandal that has impacted all sectors as well as all UK households. For the National Grid to be exporting electricity generated by coal, the costliest and most environmentally harmful source, whilst generating billions, rather than ensuring prices are kept as low as possible for UK consumers, is outrageous to the extreme. The adult social care sector is bearing the brunt of this storm, with care providers suffering from increases in their energy costs of over 600%, with no support from Government. Unlike other businesses, care providers cannot reduce opening hours, turn off the lights, or switch off the heating or cooling, they house and care for some of society’s most vulnerable and we are already seeing 45% of providers considering exiting the market due to the current financial unsustainability in the sector.”
Focus Energy Services, a respected partner of Care England, revealed that throughout May - August 2022, the UK unnecessarily burnt coal to produce electricity, whilst exporting electricity to France. Exporting electricity has led to double the costs of electricity for consumers in the UK, and the National Grid recently warned that the energy crisis could last up to three years.
Earlier this week Care England wrote to the new Prime Minister with a blueprint of practical solutions that the Government must implement to provide some energy stability to the care sector, including:The introduction of a per-bed energy price cap equivalent to the proposed domestic energy price cap or the reimbursement of providers for the increased energy costs incurred by other means.The extension of the £400 energy rebate to vulnerable people in care and supported housing, introducing parity in the way they are treated compared with those living in their own homes.The removal of VAT and the Green Levy on energy bills.Professor Green continues:
“The care sector potentially faces the grimmest Winter in years, which is damning for any Government. Enough is enough. Despite this scandal, Care England is here to offer advice and work collaboratively with Government. With a new Prime Minister in place, the longevity of a sustainable energy supply and social care sector can now be addressed against the manifesto promise to ‘fix social care’.”