Councils social care overspend reaches decade high

Council overspent their adult social care budgets by a decade high of £774m in 2024/25, ADASS has revealed.

(c) Anthony/Unsplash

(c) Anthony/Unsplash

The survey warned councils have cut prevention spending by over 10% due to overstretched budgets as they focus on immediate needs and people in crisis.

Jess McGregor, ADASS president and director of adult social care in Camden, said: ‘The maths simply doesn't add up – more people are coming to councils for help and their care is complex and costly, which means we don't have funds left to provide the early support and prevention that would stop people's health from deteriorating and help them avoid spiralling into crisis, where they frequently end up in hospital.'

Three-quarters of directors reported an increase in the number of people with complex care needs seeking support who were previously funded by NHS CHC. ADASS said there was a postcode lottery for access to CHC funding, adding care workers were increasingly being asked to carry out health tasks normally covered by NHS staff.

All respondents said increased pressure on the NHS will in turn increase pressures for adult social care into next year.

McGregor warned that ‘without more investment to keep people well and independent at home, we risk undermining the shift towards prevention and neighbourhood health that Wes Streeting, the NHS and this Government are rightly championing'.

Response

Liberal Democrat care and carers spokesperson Alison Bennett said: ‘The Government needs to heed this warning that without fixing social care the NHS 10-Year Plan will fail to deliver the change that people are crying out for.'

Matthew Taylor, chief executive of the NHS Confederation, said: ‘Health and social care services are interdependent, without a robust social care sector, the NHS cannot function effectively, and population health outcomes will continue to suffer.'

Unison general secretary Christina McAnea said: ‘Local authorities are now so cash-strapped they've had to abandon preventative measures. Councils often only intervene when families have reached crisis point. That's how dire things have become.'

Cllr David Fothergill, chairman of the LGA Community Wellbeing Board, warned ‘councils cannot deliver the Government's ambition to shift care from hospital to community without sustainable funding for adult social care'.

Caroline Abrahams, charity director at Age UK said: ‘This deteriorating situation means there's a huge amount riding on Louise Casey's Commission into the future of social care. The sooner she can complete her work and make actionable recommendations the better for older people, and for the NHS too.'

Unison general secretary Christina McAnea said: ‘The sooner there's a National Care Service, the better. That will drive up standards and begin to replace the profit-driven system that's failing far too many people, their families and hard-pressed staff.'

A Department of Health and Social Care spokesperson said: ‘We inherited a social care system in crisis but in our first year of Government we have taken immediate action to improve this.

‘The Spending Review will allow for increased funding for social care by £4bn, we have legislated for the first ever fair pay agreement for care workers and Baroness Casey has begun her work on the independent commission into adult social care to build a National Care Service that is fair and affordable for all.

‘We have also invested £172m extra in the Disabled Facilities Grant to deliver around an extra 15,000 home adaptations and given unpaid carers a £2,000 uplift to their allowance.'

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