3

Set out spending review preparations and long-term funding certainty for local authorities.

Recommendation
Local authorities are having to plan and commission adult social care services against a backdrop of fragmented and uncertain funding. We have long voiced our frustration at the short-term and multiple funding pots provided to local government and recommended that government explore ways to provide more confidence over long-term funding. We note that funding announced for adult social care in 2022 covered 2023–24 and 2024–25, yet we remain concerned at the perpetual late announcement of overall funding for local government. We welcome the additional funding for adult social care in recent years but recognise these are short-term top-ups, often designed to be spent on specific initiatives (such as increasing pay to providers) with no guarantee that they will continue. The latest government announcement of an additional £500 million for adult and children’s social care is welcome but comes just weeks before the next financial year is due to begin and may be too little, too late to have a demonstrable impact. Patchwork funding and short-notice announcements hinder the sector’s ability to plan for the long-term and risks undermining delivery of the Department’s 10-year vision for adult social care. Funding for adult social care, including supporting the planned reforms, for 2025–26 onwards will depend on the next spending review. Recommendation 3: Given it has a 10-year vision for reforming adult social care, in its Treasury Minute response, the Department should set out: i) what it is doing now to prepare for the next spending review and make the case for more stable funding, and ii) what it can do to give local authorities greater certainty over funding and allow them to plan for the longer term.
Government Response

A response document is linked to this report, dated 28 May 2024. Response attribution to this recommendation has not been verified. Read the response document.

Addressee Bodies
HM Treasury
Timeline
Recommendation age 2.5 yrs
Report published 20 Mar 2024