Home Business NewsBusiness More than half of Brits ‘very negative’ over social care funding plans

More than half of Brits ‘very negative’ over social care funding plans

by LLB Reporter
19th Jan 22 11:33 am

The Government’s social care funding reforms face a mounting backlash from voters, new research suggests.

Almost 4 in 5 (79%) of Brits view the reforms, which will see lifetime costs capped at £86,000 and the means-testing threshold rise to £100,000, as either quite negative or very negative.

More than half (57%) of Brits are ‘very negative’ about the plans, saying they will ‘never’ be able to afford £86,000 of care costs.

Only 5% of respondents were ‘very positive’ about the changes, while around 1 in 6 (16%) were ‘quite positive’.

Survey also sought views on alternative reforms to encourage people to save for social care:More than 4-in-5 (21%) agreed automatic enrolment into an insurance product would most encourage them to save for care, followed by a Care ISA with a 25% upfront bonus (16%) and tax-free pension access (15%).

However, the majority (57%) said none of these reforms would encourage them to save for care.

Tom Selby, head of retirement policy at AJ Bell, comments: “After a decade of broken promises on social care funding, Prime Minister Boris Johnson at least deserves credit for putting forward concrete plans to address the social care crisis.

“Currently people can face unlimited social care costs. Under reforms outlined by the Government last year, from 2023, lifetime personal care costs will be capped at £86,000 and the means-testing threshold raised to £100,000.

“The reforms will be funded through a controversial 1.25 percentage point increase in National Insurance rates for both employers and employees – although this cash is also being used to bolster the NHS.

“However, the relatively high level of the cost cap appears to be putting people off, with the vast majority saying they view the plans negatively. In fact, more than half of Brits say they are ‘very negative’ about the reforms and worry they will ‘never’ be able to afford costs up to the £86,000 cap.

“This comes as the Prime Minister faces growing concern over the timing of the planned National Insurance rise, with some Cabinet ministers reportedly voicing disquiet over the impact it could have at a time inflation is soaring and energy bills are set to skyrocket.

“This combined with negative voter sentiment will inevitably lead some to push for the changes to be delayed or shelved altogether.”

Leave a Commment

CLOSE AD

Sign up to our daily news alerts

[ms-form id=1]