Herts County Council leader fears Budget will hit care providers and ‘damage’ businesses
The leader of Hertfordshire County Council has voiced concerns about the Budget’s impact on care providers.
Cllr Richard Roberts said that Chancellor Rachel Reeves’ announcement on the rate of employer National Insurance rising from 13.8% to 15% next April could “damage” local businesses and make “ambitions for economic growth in the county a significant challenge”.
On Wednesday (October 30), Ms Reeves also announced some help for cash-strapped councils. According to the Local Government Association, the £1.3 billion extra promised for the next financial year “will help meet some – but not all – of the significant pressures in adult and children’s social care and homelessness support”.
Cllr Roberts said: “While we welcome the proposed general increase in local government funding, the National Insurance increases announced, which we understand will be covered for local government, will still have a significant impact on our care providers and we will need to plan for these costs with them.
“Also, the damage that these announcements could do to our local businesses will make our ambitions for economic growth in the county a significant challenge going forwards.
“It will also be interesting to see what the wider announcements made will mean for Hertfordshire residents and, as always, the devil will be in the detail.
“If taken as read, investment in schools, road maintenance, the Household Support Fund, Carer’s Allowance and additional support for special educational needs and disabilities (SEND) should be welcomed. However, this level of investment remains significantly short of the funding required to balance our budget next year.
“Hertfordshire has been one of the lowest recipients of high-needs funding across the country to provide services to children with SEND, and from what we’ve heard [on Wednesday], it doesn’t feel like the measures announced will go far enough towards rectifying this historical funding injustice.”
