Conservative minister Kemi Badenoch has urged Andy Burnham to rule out tax increases or additional borrowing to finance his proposed social care reforms. In a letter addressed to the Prime Minister, Badenoch cautioned against burdening future generations with the costs of these changes.
Burnham is anticipated to deliver a significant speech this week outlining his strategy for overhauling the nation's social care system, for which he is seeking bipartisan backing. He recently stated in a BBC interview that the National Health Service (NHS) is at risk of collapse without intervention, though he did not provide a specific timeline for implementing reforms.
The reform of social care has been a long-standing objective for Burnham, who previously presented similar plans as health secretary under Gordon Brown's government. However, those 2010 proposals for elderly care reform, which included establishing a 'national care service' for England, drew accusations that Labour intended to introduce a 'death tax' to fund them.
Badenoch reiterated her stance against penalizing individuals who have saved or made provisions for their own care needs later in life. Unlike NHS treatment, social care is not currently provided free at the point of use, and its high cost often necessitates individuals selling their homes to cover expenses. Those with savings exceeding £23,250 are generally ineligible for local council assistance with care costs.
"Adult care spending alone is already £35billion a year and is only set to rise given our ageing society," Badenoch wrote in her letter. "The Conservatives are happy to work with you and other parties on reforming social care. But we will only support a solution that abides by two core principles.
"First, any solution to the issues around social care must also be fair to those who have made provisions and saved up over the course of their lives.
"Second, the money must be found by reducing current spending. You must rule out any tax rises, or increased borrowing that will ultimately fall on the next generation to pay for."
Badenoch pointed to government spending forecasts for 2028/29 under Labour, which project an increase of £152 billion compared to previous Conservative plans, with taxes rising by £105 billion and borrowing by £47 billion. She added, "With businesses closing or relocating, youth unemployment higher than in the eurozone, and the cost of living already causing real hardship for many people, the last thing Britain needs is further tax increases to pay for social care."
Officials are reportedly developing proposals for a national care service, estimated to cost around £18 billion, though less expensive options are also under consideration. Burnham has previously suggested a 10 percent levy on all estates as a potential funding source.
Burnham emphasized the interconnectedness of social care and the NHS, stating that waiting times within the NHS will not improve until social care is addressed. He indicated that substantial changes could be made before the next general election in 2029, highlighting that inadequate social care contributes significantly to hospital overcrowding and extended stays. He believes fixing social care is crucial to preventing the NHS from collapsing under the strain of caring for individuals who do not require hospital admission.
Liberal Democrat leader Ed Davey expressed hope that politicians would finally take serious action on social care. He stated his readiness to collaborate on finding a sustainable consensus, emphasizing the importance of family carers and ensuring that individuals receive necessary care without losing their homes.