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Labour says ‘sneaky’ social care cap change will hit poorest pensioners hardest | Politics Information

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Labour has accused the federal government of fixing its cap on social care prices so the poorest pensioners must pay much more.

Shadow social care minister Liz Kendall mentioned the change is “a good greater con than we initially thought” after the federal government printed particulars of the cap on Wednesday afternoon.

Boris Johnson introduced in September a cap on care prices for adults in England from October 2023, promising a restrict of £86,000 on how a lot a person has to pay over their lifetime.

The federal government mentioned folks with belongings lower than £20,000 wouldn’t need to contribute something to their care (up from £14,250).

And other people with belongings of as much as £100,000, as an alternative of the present £23,250, would even be eligible for some means-tested monetary assist on a sliding scale.

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The federal government has now introduced it’s going to introduce an modification which means solely the quantity an individual personally contributes to these prices will rely in direction of the £86,000 cap, so not something the federal government contributes.

Within the announcement, which must be voted on by parliament, it says this can imply folks “don’t attain the cap at an artificially quicker fee than what they contribute”.

“The way more beneficiant means check is the primary technique of serving to folks with decrease ranges of belongings,” it provides.

Ms Kendall mentioned: “This small print, sneaked out at present beneath a cloud of Tory sleaze, reveals Boris Johnson’s so-called cap on care prices is a good greater con than we initially thought.

“We already knew most individuals will not hit the cap as a result of it does not cowl board and lodging in care houses, and that at £86,000 the cap would nonetheless imply many individuals must promote their houses to pay for his or her care – in opposition to every thing Boris Johnson promised.

“It has now been revealed that the poorest pensioners must pay much more, one thing Andrew Dilnot – who proposed the cap – explicitly dominated out as a result of it was so unfair.

“That this Tory authorities has did not be straight with those that’ve given a lot to our nation is a complete shame, however completely unsurprising. Our aged folks deserve higher.”

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Social care tax rise: Regressive or progressive?

Torsten Bell, chief govt of the Decision Basis suppose tank, mentioned the plan might “double your care prices” for somebody who has about £90,000 in belongings.

“However makes no variations to somebody with £500,000, who will get nearly all their belongings protected,” he added.

“Simply to be clear – the means check will nonetheless make an enormous distinction to this group with fewer belongings.

“But when the examination query is whose belongings are being protected by this reform, the reply on the idea of this variation is way more distinctly the asset wealthy than beforehand thought.

“The federal government nearly definitely already supposed to make this variation when making the announcement in September.

“I.e. at present is simply when the skin world discovered the coverage had modified.”

Economist Andrew Dilnot, who got here up with the thought of capping care prices, and Sally Warren, director of coverage from The Kings Fund social care charity, can be showing in entrance of the Treasury Choose Committee on Thursday.

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