social care in england: challenges and current thinking
DESCRIPTION
Mr. Robert Kettell, Social Care Strategic Policy and Finance, Department of HealthTRANSCRIPT
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Social Care in England: challenges and current thinking
Robert KettellSocial Care Strategic Policy and FinanceDepartment of Health
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Social care is the wide range of services designed to:
- support people to maintain their independence- enable them to play a fuller part in society- protect them in vulnerable situations
It is for all adults aged 18 and over.
Total number of people receiving support in 2008/09 - 1.8 million• Of which:
–Over 65 – 1.2 million–Under 65 – 600,000–Residential care (including nursing care - all ages) – 250,000–Community care (all ages) – 1.5 million
Social care in England
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Social care in England (continued)
• Total spend on adult social care services (2008/09) - £16bn
• Broken down by age:– £9bn is on the over 65s– £7bn is on the under 65s
• Broken down by setting:– £7.5bn is on residential care– £6.5bn is on home and community care– £2bn is on other costs (esp. assessment and care management)
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How is social care funded?
Social care funding is allocated by local authorities.
Local authorities fund social care in two ways:
1. Through general expenditure, which is divided into:- Funding provided by central government = £73bn in 2008/09- Raising money from local people through council tax = £25bn in 2008/09.
Total revenue spending by local authorities = £98bn
Around 15% of this total (£14bn) is spent on social care.
2. Payments collected from people receiving care from the local authority = £2bn
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Who receives state-funded social care?
• Assessment is based on both needs and means
• Need assessment –– national framework for assessment, based on risk to independence, but– local discretion around eligibility.
• Means assessment –– National framework for assessment – national eligibility for residential care (i.e. those with assets of over £23,000 do
not qualify for state support)– local discretion over eligibility for home and community care.
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How is social care organised in England?
Local authorities: • Assess eligibility ; allocate personal budgets ; commission services on behalf of care
users ; shape market• Provide limited in-house services (but this is increasingly rare)
Private and third sector:• 30,000 independent providers, many of which are small businesses and organisations. • Employ around 1.5m people • Over 90 per cent of residential care places and more than 80 per cent of home care
hours are provided by the independent sector.
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Current Challenges
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Current ChallengesBirmingham University Report
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Current Challenges
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Current Challenges
Demographic change• Changes in demography – ‘baby boomer’ generation about to enter retirement• Younger people with disabilities are living longer• This means more people with care needs: increase of 1.7 million expected by 2026
Increasing expectations• Social care is means tested – some are forced to sell their homes to pay for care• Variation of services across the country – leads to accusations of “postcode lottery”• Increasing expectations – people want choice and control over services
Fiscal pressures• Challenging short term fiscal climate – need for efficiencies.
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Short term pressures and efficiencies
• Demand pressures = 2% per year• Costs of delivering services = 2% in real terms per year
So, to fund the current system we need to increase funding by 4% in real terms per year - or find efficiencies.
But efficiencies in social care are challenging:
• Low paid workforce• Person – to – person service• Long term programme of de-institutionalisation
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Response
• Assistive technology• Prevention and re-
ablement• Personal budgets• Etc.
Efficiency savingsEfficiency savings
• Reduced residential care use (40% of total spend)
• Reduced emergency hospital admissions
• 3% target for 2010/11 in social care
OutcomesOutcomesMenu of interventionsMenu of interventions
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Menu of interventions
Reduce demand
• Prevention services – POPPs pilots• Crisis response• Re-ablement and intermediate care
Reduce costs
• Assistive technology – telecare services• Personal budgets – including Direct Payments and mainstream services• Improved procurement
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The policy response – long term
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How we will achieve our vision
• Integrate services better
• Support the workforce
• Introduce a quality framework for care and support
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The funding options
Currently the average 65 year old can expect to need care that would cost around £30,000 during retirement
The current system
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The funding options - Partnership
Partnership – People will be supported by the Government for a set proportion of the cost of their care, more if they have a low income.
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The funding options - Insurance
As well as receiving a set proportion of the cost of their care, the Government would also make it easier for people to take out insurance to cover their remaining costs.
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The funding options - Comprehensive
Everyone gets care free when they need it in return for paying a contribution into a state insurance scheme whether or not they need care.