Thursday 15 December 2016

The introduction in 2017-18 of a one-off Adult Social Care Support Grant

The Government are proposing to redirect £240 million from the New Homes Bonus  towards local authorities responsible for adult social care, giving each authority a share proportional to the Adult Social Care Relative Needs Formula

Improved Better Care Fund (iBCF)

The amount, the time profiling and distribution methodology for the iBCF is unchanged. There will be no extra money and none will be brought forward.

Extended precept flexibility

In the next two years, social care authorities will now be able to introduce the rise sooner. They will have the freedom to increase the maximum collected through the precept to 3% in 2017-18 and/or 2018-19, but still cannot exceed 6% in total over the three-year period to 2019/20.  Councils will be required to publish a description of their plans, including changing levels of 18 spend on adult social care and other services. This must be signed off by the Chief Finance Officer (section 151 officer).

If the extra precept flexibility is taken up in the same proportion of councils as in 16/17 we expect this to raise an additional £190m in 17/18.  The government announcement suggested a potential of £208m.

These measures combined provide around £430m (maximum of £448m) next year. ADASS submission to the Autumn Statement estimated the extra funding required to stabilise social care to be in excess of £1.6bn in 2017/18 alone.

ADASS view (Ray James, Immediate Past President):

“We welcome the Government’s acknowledgement of the need to address the crisis in social care funding but the amount brought forward for 2017/18 is woefully inadequate.

“It is over £1 billion less than all leading sector experts (King’s Fund, LGA and Nuffield Trust) say is needed to fund adult social care next year and the precept raises less in areas with the greatest need.

“There is no extra money for councils during this Parliament and ADASS would welcome sight of how government have satisfied themselves about the adequacy of this settlement for 2017/18 given the widely acknowledged increases in the demand for and cost of social care.

“This settlement is not sufficient to stabilise a care market in crisis. It will not enable us to recruit the front line care workers needed, it will not ease the pressures on our hospitals but most of all, it is not sufficient to provide older and disabled people and their families with dignified, respectful care.”