Andy Burnham has plans to deal with long-term care in England.
A Look Back to 2010
In March 2010, during the dying days of Gordon’s Brown’s Labour government, Andy Burnham was the Health Secretary. In that role, he published a White Paper on social care reform in England, proposing the establishment of a national care service. The new service was to be funded by state and individual contributions, but decisions on who would pay for what were deferred until after the impending election. In a surprise statement that contradicted what the then Chancellor had previously said, Burnham suggested that a compulsory levy on people’s estates after they have died had not been ruled out. That levy was instantly branded by the opposition as a ‘death tax’, a term that echoed around the subsequent election.
New Proposals for a National Care Service
Fast forward 16 years and now Prime Minister Andy Burnham is once again talking about a national care service. On this occasion, the next general election is up to three years away, but the older and wiser Burnham is now more careful in what he says about his plans for dealing with social care. His speech on the topic, given in a North London care home, contained three announcements:
Speeding up an existing review
In 2025, the Starmer government initiated a review into social care under Baroness Casey. It was due to issue a final report, including funding recommendations, in 2028. Burnham has brought that target forward to 2027. Casey’s report is the 23rd such review into social care.
Focus on social care workforce
The Starmer government established a fair pay agreement for social care staff, due to start in 2028/29. Burnham wants to go further by lifting the social care workforce “closer to NHS standards”. He acknowledged that the lift would apply in terms of pay, but also in terms of training, wider support and job security.
Cross-party approach
Perhaps it was the memory of 2010 that prompted Burnham to say he would aim for a cross-party approach. In practice, the goal looks likely to be unmet, as the Conservatives have offered their support conditional on no extra taxes or borrowing.
The Need for Financial Planning
Realistically, it remains unlikely any change will start to operate until the 2030s – if it survives the next election. So factoring in your potential long term care should be part of your overall financial planning.
Navigating the uncertainties surrounding the future of social care funding makes taking proactive steps more important than ever. If you would like to discuss how these potential changes could impact your estate or wish to explore options for funding potential long-term care, please contact Chartwell Wealth Management today. Our experienced team can help you build a robust financial plan that provides peace of mind for you and your family.
