Our Response to the Government Budget
As a small, independent care home, we have carefully reviewed the details of the government’s latest budget. While we recognise the ongoing challenges in balancing public spending, we are deeply concerned about the implications for care providers like us and, most importantly, for the vulnerable individuals and families we serve.
Rising Costs and Financial Pressures
The measures outlined in the budget, combined with ongoing economic trends, make it inevitable that our operational costs will rise further. Increases in energy prices, food costs, and wages—all critical to running a safe, caring, and compliant home—are already straining our resources.
Additionally, the increased regulatory burdens and taxation changes disproportionately impact smaller providers like us, who lack the economies of scale available to larger care groups.
The proposed allocations for social care, while welcome in principle, fall short of addressing the immediate and long-term funding gaps. With limited new funding streams for care homes, we fear that many smaller homes will struggle to remain viable, creating a risk of reduced capacity in the sector and jeopardising care quality for the elderly and vulnerable.
Unfair Employer National Insurance Changes
We are also disheartened by the inequitable treatment of employer National Insurance contributions.
While we face increased costs in this area, the NHS has been exempted from this burden. As small, independent care providers, we play an essential role in supporting the health and well-being of those that need care, yet we are being disproportionately affected by this policy. This creates an uneven playing field and places additional strain on our resources.
Joining a Collective Voice for Change
In response to these challenges, we have joined forces with other independent care homes as part of a national lobbying group. Together, we are advocating for urgent changes to the funding and cost structures that threaten the sustainability of small, independent providers. Our priorities include:
Fairer Cost Allocations:
Ensuring that funding levels match the true cost of providing care, particularly for all residents.
Energy and Tax Relief:
Targeted support to help small care homes manage rising utility bills and tax burdens.
Investment in the Workforce:
Enhanced government support to recruit, train, and retain the dedicated staff who are the backbone of our care system.
A Call for Constructive Dialogue
We urge the government to engage in meaningful discussions with small care providers and representative groups. Only by understanding the realities we face on the ground can policymakers create a framework that supports equitable, sustainable care for all.
As always, we remain steadfast in our commitment to delivering compassionate, person-centred care. However, without decisive action to address these systemic challenges, the ability of small homes like ours to continue operating is at significant risk.
We hope the government will recognise the essential role that independent care homes play in the broader social care ecosystem and work with us to ensure a fairer and more sustainable future.
We await further updates…
Ash Jeraj
Provider
Bramblings
