Providers of adult social care services and care workers in London are facing new stress due to the rising costs of living and inflation. The Fair Cost of Care reforms bring a glimmer of hope to many providers, but these are not yet in place. Meanwhile the sector is facing major problems in keeping existing staff and attracting new ones.
People across the UK are experiencing the steepest rise of inflation in the past 30 years. Consumer prices in February 2022 were 6.2% higher compared to the previous year. This means increased costs of living, from rising fuel, energy and food prices in particular. Providers of adult social care and care workers in addition are grappling with continuing Covid-19-related requirements, staff shortages that mean they have to employ other more expensive temporary staff or curtail services, and other rising operational costs.
The providers we talked to say this is offers a glimmer of hope but will not help with today's bills and pressures
In our study for the NIHR Applied Research Collaboration (ARC) in South London we have been investigating the specific impacts of the rising costs of living with people running care home and home care services. Many have expressed frustration over the rising costs they are facing, which stretch beyond fuel, food and energy. They feel that inflation is making a situation worse that has been difficult for years. The manager of two care homes said:
“The cost of living increase is further exacerbating an already difficult time for care homes. We have spiralling food costs, fuel costs and energy bills on top of the introduction of the health and social care (National Insurance) tax as well as increasing staff costs. Couple this up with homes having to lock down due to Covid outbreaks and not being able to accept new admissions and we have a real crisis”
Some home care agencies told us they are less able to take on new customers because rising fuel costs and costs associated with driving in some parts of London make it too expensive for their staff to drive between customers. One home care provider highlighted the situation from extra travel costs:
“Our customers are based across London, including one area that is an Ultra-Low Emission Zone. Ideally we had care workers who can walk or drive to the customer, but who can afford to live in London? With rising fuel costs plus costs to drive inside London care workers are less likely to take on jobs. The local authorities still only pay them by the minute. This is unsustainable.”
The Department of Health and Social Care is implementing some funding changes through processes such as Market Sustainability and Fair Cost of Care. These are being designed to provide fair local authority payments to home care and care home services. The providers we talked to say this is offers a glimmer of hope but will not help with today's bills and pressures.
We are continuing our research to hear from care workers themselves and to find out if anything within the care sector is effectively offering some help. These include the impact of the London ADASS' Proud for Care discount scheme for care workers and assistance with income maximisation as well as increases in actual wages. We know that many people with care and support needs are also being affected and our work will add to the body of evidence about the accumulating stressors on social care systems and people.