Together with our members, Methodist Homes (MHA) we have written an open letter to the Chancellor of the Exchequer, Rachel Reeves to outline our concerns about the impact the increases in and extensions of employer’s National Insurance Contributions will have on the people our members support.

In the letter we also propose the idea of a bridging fund, an idea generated by Methodist Homes (MHA), that would enable adult social care employers to move towards the proposed fair pay agreement for care workers, and to be able to align when this framework is ready in a couple of years’ time.   

We suggest this funding pot be at least equivalent to the sector’s overall losses resulting from changes to employer’s National Insurance Contributions (ENICs) announced in the Autumn 2024 Budget.   

Liz Jones, Policy Director at NCF said:

“It is not too late for the Chancellor to do something to mitigate the impact of increases to and extensions of the Employers National Insurance Contributions on the millions of people who draw on care and support. Without action, we are concerned that hundreds of thousands of people with learning disabilities, autistic people and older people, as well as their wider communities, will not be able to access the vital services they need to live fulfilling lives as a result of the predicted shrinkage of care and support services resulting from these measures. 

“We remain solutions focused, and the ‘bridging fund’ proposal we outline offers a solution for the government that would mitigate this impact, as well as provide an interim measure to improve the wages of all of who work in social care – care workers, support workers, nurses and many others – ahead of a fair pay agreement.“

You can read the open letter here.