Newly appointed Prime Prime Minister Andy Burnham has indicated his intention to implement a new tax on estates, colloquially termed a 'death tax,' to fund adult social care. Burnham stated his readiness to expend political capital on overhauling the system, which he described as "broken."
Burnham referenced a proposal from 2010, when he served as health secretary, that would have established a national care service funded by a 10% tax on estates. This plan was previously opposed by Conservatives who labeled it a "death tax." Burnham asserted that it is a "damning indictment" of contemporary politicians that the care system remains in crisis.
"I am ready to use some of my political capital on this issue. I'll be blunt with you," Burnham told reporters. "I would not want to leave office having done what Westminster has done ... it's not defensible. How many people have lost their homes and their savings in that time? We need to face it and fix it."
Unlike National Health Service (NHS) care, social care in England is not free at the point of use. Individuals with savings exceeding £23,250 are ineligible for local council assistance with care costs. Consequently, high care expenses often necessitate the sale of homes to cover expenses.
Burnham shared personal experiences, referencing the care his father, Roy, receives for Alzheimer's. His father's condition has progressed to a point where he is unaware of his son's ascension to Prime Minister.
"If I look at the National Health Service right now, what I hear from people is that corridor care is becoming the norm all year round, not just in winter time, and the standards in relation to A&E are just not achievable in terms of the 90-plus percent of people coming through in four hours," Burnham explained. "And they say the biggest cause of that is broken social care because if there's no barrier there at the front, how on Earth can the hospital system cope? And I know this from my dad, who has Alzheimer's."
The funding and operation of adult social care in England have been persistent challenges for successive governments. Baroness Louise Casey, leading an independent review of the sector, noted that since 1997, there have been at least 22 attempts to reform social care, none of which, she stated, have "fixed the foundations."
Burnham has long advocated for a new tax to finance adult social care. In May, he suggested replacing inheritance tax with a "care levy," arguing it would not require people to pay more but rather to contribute in a more equitable manner, ensuring peace of mind and necessary care during their lives.
Burnham's father's situation was discussed in a separate interview prior to his appointment, with Burnham noting the sadness that his father would not be aware of his achievement but emphasizing it as a "whole family achievement."
Previous government attempts to address social care have faced difficulties. In 2019, Boris Johnson pledged to "fix the crisis in social care once and for all," a promise that was not fulfilled. The Labour party also drew criticism in 2024 for abandoning plans for an £86,000 lifetime cap on personal care costs, citing concerns about deliverability within the specified timeframe.