REACTION: Care sector ‘deeply disappointed’ by scrapping of care cost reforms
Labour and the Conservatives have been playing the blame game again, taking shots at one another over chancellor Rachel Reeves’ announcement yesterday that the government would scrap the long-planned cap on care costs proposed by Andrew Dilnot back in 2011.
With Labour accusing the last government of hiding a “£22 billion spending hole” and former chancellor Jeremy Hunt alleging that the financial figures were always accessible to Reeves and Labour, we may never know the full truth.
Below, find the opinions of some of the biggest names in the adult social care sector as they react to the news.
Non-executive director at Newcross Healthcare, Suhail Mirza, said: “Rachel Reeves’ sobering statistics about the hole in the inherited public finances included the decision to cancel the charging reforms for social care due to be introduced in October 2025.
“The government is playing copy-cat to the Conservatives who recanted on introducing these reforms barely 24 months ago.
“And now, a decade and half after The Dilnot Review, which looked into how to most equitably cap the (sometimes crippling) costs of care, we now have what appears a definitive kicking of the can down the road.
“It all seems a depressing reminder of how the sector remains mired in the margins of ministerial priorities for health and social care.”
Meanwhile, Vic Rayner, CEO of the National Care Forum (NCF), commented: “We’re deeply disappointed the chancellor has announced that the proposed suite of charging reforms for adult social care will no longer
be taken forward.
“Secretary of State for Health and Social Care Wes Streeting said just weeks before the General Election that he wanted to give the system the certainty before the election that Labour would not ‘come in’, ‘unpick’ and ‘scrap’ plans for social care reform without a feasible alternative.
“However, we are just a few weeks into the new government’s tenure and this appears to be exactly what has borne out.
“This is particularly disheartening coming just a few days after the Care and Support Alliance published a startling report detailing the deeply unfair postcode lottery people requesting care and support face every day.
“The £1 billion in savings announced is more than a number – it represents tens of thousands of people who will struggle to pay for their own care.”
Care England chief executive Martin Green said: “At a time when the government is making huge commitments to public sector pay and increasing budgets in the NHS, social care has been ignored. It is quite clear that the government does not understand the interdependence between health and care.
“Investment in social care would pay enormous dividends, both in terms of the capacity in the NHS, and also as part of a growth strategy for the economy, yet this too has been overlooked.
“On top of this devastating news about reform, came another blow to social care, with the news that the government had decided not to develop the Adult Social Care Training and Development Fund. Retention is a key element in resolving our sector’s workforce crisis, so this will have a significant impact.
“Care England stands ready to work with the new government to deliver a long-term and sustainable future for care, but this must be based on fairness and honesty, rather than short-term promises that are not delivered.”
Elsewhere, Stephen Lowe, group communications director at retirement specialist Just Group, said: “Our research before the General Election found widespread distrust that politicians would deliver on much-needed care reforms.
“Four in 10 voters said that they either trusted no political party to deliver much-needed care reforms (22%) or did not know which party they were able to trust (17%).
“Scrapping the already-delayed social care cap plunges the public and the care sector back into deep uncertainty and returns us to square one having come so close to reform.
“It will further destroy the little remaining faith voters have that governments will deliver the substantive changes needed in the current system to create a fair, healthy and funded social care market.
“It’s likely this announcement will further deter people from making plans for their later-life care.
“We already know nearly two in three (62%) over-75s were waiting for a clear government policy on social care before they started making any plans.
“Not planning leaves people vulnerable having to make snap decisions about care, often at a point of crisis, which can lead to poorer outcomes for some of the most vulnerable in our society.”
Steven Cameron, pensions director at Aegon, added: “The announcement that the government will not be taking forward the previous government’s deal on social care funding will be a bitter blow to those facing unlimited bills for adult social care.
“Social care funding is a major concern to millions of families but had been noticeably absent from the government’s election manifesto and the King’s Speech.
“Cancelling the deal, which was to have started in October 2025, means individuals will no longer have their contributions towards eligible care costs capped at £86,000. Instead, currently, those requiring care for longer periods face catastrophic care costs which can wipe out a lifetime of savings.
“Had the new funding deal been introduced, individuals would have been able to plan for the eventuality of needing to pay for care. But unfortunately, as [of] now, those who’ve done the right thing and saved for their later life could see it all – and their family home – disappear to pay for care, destroying plans to leave an inheritance to loved ones.
“With people on average living longer, the challenge of social care funding is likely to get worse. While the nation’s finances may be stretched, we do hope the government will look again at what can be done to strike a fair funding deal between individuals and the state.”