Social Care was a headline spending commitment for the Chancellor in this Budget, with a £2bn sticking plaster going to English councils over the next 3 years, and £1bn of this available straight away in 2017-18. Options for longer term reform of social care financing will be set out in a green paper later this year.
Overview
Following last year’s Autumn Statement – which was the new Chancellor’s first major ‘fiscal event’ – he faced much criticism that it had included no measures to support the creaking social care system. At this Spring Budget he wasn’t going to make the same mistake. Social care funding was a major headline spending commitment in a Budget that featured very few spending commitments of any kind, perhaps unsurprisingly given the Chancellor’s hands were tied by his commitment to fund spending decisions within the Budget rather than through additional borrowing.
Most immediately there is an additional £2billion going to councils in England over the next 3 years to spend on adult social care – with £1 billion of this available straight away in 2017-18. This short-term sticking plaster is intended to pave the way for longer term more fundamental reform of social care financing, the options for which will be published by the government in a green paper later this year. Following speculation in the media that one of these options could include a controversial ‘death tax’, this was explicitly ruled out by Mr. Hammond.
In an attempt to ease pressures on the NHS, social care funding will be targeted at measures to reduce the delayed transfers of care between NHS and social care services. The budget includes two further measures for the NHS: £100m for capital investment in A&E departments (to allow NHS Trusts to invest in help to manage demand, through measures such as 100 new triage projects in time for next winter) and £325million over three years to support the implementation of the most developed Sustainability and Transformation Plans.
Policy announcements- Social care
Additional funding for social care
The Government will provide an additional £2 billion of funding for adult social care services to councils in England over the next 3 years. Councils will have to collaborate with local NHS bodies to determine how best to spend this additional funding, with a focus on spreading best practice. £1 billion of this additional funding will be provided for the 2017-18 financial year, to allow councils to fund care for more people, support social care providers in their respective areas and reduce pressure on local NHS services.
Targeted measures to improve social care
The Government will also introduce targeted measures for areas, where the most significant service improvements are required. A key focus of these measures will be reducing instances of delayed transfers of care between NHS and social care services.
Social care reform
The Government will issue a green paper setting out proposals to create a fairer, more sustainable adult social care system, capable of meeting the demands of the UK’s ageing population over the longer term.
Policy announcements-Devolution
Further health and social care devolution for Greater London
As part of its Memorandum of Understanding on further devolution to London, agreed with the Greater London Authority and London Councils, the Government has committed to work with London partners to agree a second Memorandum of Understanding on health and social care devolution for the capital.
Policy announcements- Acute care
Accident and Emergency Departments
The Government will give NHS England an additional £100 million in 2017-18 for capital investment in A&E departments. This is designed to assist Trusts in managing growing demand for A&E services and to improve access for patients.
Policy announcements- NHS Reform
Sustainability and transformation plans
In an effort to improve services for patients, the Government will provide £325 million of capital investment over the next three years to support the strongest local proposals outlined in Sustainability and Transformation Plans (STPs). It will fund proposals, which it believes will deliver significant improvements for patients and long term cost savings.
With further STPs expected to be released in the coming months, the Government will consider a further round of investment to support local proposals at the Autumn Budget. Investment decisions will be made according to the value for money that proposals offer and whether the local NHS area is already taking steps to raise fund from unused land, for reinvestment in the health service.
