Rachael Dodgson responds to the alarming impact of the NIC rise
share this
Rachael Dodgson, Chief Executive of Dimensions, has shared her concerns about the impact of the Autumn Budget on the sector in this article from LocalGov.
Rachael highlights the significant financial burden imposed by the rise in National Insurance contributions and the National Living Wage increase; Dimensions alone faces an additional £15.1 million in costs in the first year.
The budget’s impact is not limited to Dimensions, with the Office for Budget Responsibility (OBR) estimating an average cost of £800 per employee for these tax measures across the entire social care sector. This significantly outweighs the £600 million allocated in the Local Government Settlement, which is likely to be split between children’s and adult social care, further exacerbating existing financial pressures.
The Care Quality Commission’s recent report highlights the sector’s dire state, with workforce shortages, growing inequalities in care provision, and poor outcomes for autistic people and those with learning disabilities; the budget fails to address these challenges and instead exacerbates them.
Rachael expresses disappointment that the budget contradicts the Department of Health and Social Care’s post-election rhetoric about shifting towards prevention and fixing social care and believes this is indicative of a broader pattern of chronic underfunding of the sector, which has led to this unsustainable situation.
The consequences for those receiving support are severe. Without adequate funding to attract and retain skilled staff, the provision of consistent, long-term support, which is vital for those with learning disabilities and autism, will be impossible to sustain.
Rachael is calling for a united front from commissioners and providers to push for change, emphasising the need to address the sector’s financial crisis to ensure a better life for those relying on social care.
