17 August 2025

“The resilience of our sector is under extreme pressure. There is time to turn things around – but only with immediate action taken in partnership”

CCPS CEO Rachel Cackett on today’s open letter to the First Minister and the Herald’s hard-hitting report into the threat posed to social care

I was up very early this morning to read the Sunday Herald.

Over the past few weeks, writer-at-large Neil Mackay had interviewed a number of Chief Executives of health and social care organisations who are members of CCPS and the ALLIANCE – as well as myself and ALLIANCE Chief Officer, Sara Redmond. He wanted to understand the absolute tipping point faced by charities trying to deliver public services on contracts that just haven’t kept up with costs or demands. In addition, nearly 250 organisations have signed a joint letter to the FM from the ALLIANCE and ourselves calling on the government to increase investment at pace, and work with us, to stabilise our sector.

It’s a big and very hard-hitting piece – reflecting the gravity of the position – and the body of Neil’s article really conveys the dilemma facing so many not-for-profits providing social care and support: do they keep providing vital services through public sector contracts that are too often too poorly funded to preserve quality and dignity; or do they hand these contracts back and see people’s critical support reduced and jobs lost? Both come with real consequences for real people. It’s a story that has been too long under the radar and needed told.

At CCPS a survey of 50 major social care providers earlier this year set out that around two-thirds were planning to eat into their charitable reserves this year to deliver public services and of, these, around 90% would not be a going concern in 4 years if that situation continued.  That’s a wake up call for us all.

There is still – just – time to turn this around, but it’s running out. Hammered by long-term underinvestment, wages set too low by the Scottish Government and now huge increases to national insurance bills from Westminster, there is no longer the time to just look on and ask us to wait.

I speak to our outstanding CEO community regularly. They, and their organisations, are resilient and creative – they’ve had to be for so very long to make things work. But that isn’t sustainable for ever and they can’t be taken for granted.

With a spending review and budget coming up it is absolutely THE time to make some key decisions for the future of crucial support for individuals, families and communities across Scotland. That is the basis of our joint call to the First Minister.  Organisations like those I represent can provide so many of the answers to the policy aspirations for the people of Scotland which this government – and indeed all the political parties – have set out.  But we can only do that if we are here as a sector that is surviving and thriving.

We want to work with politicians and officials to build a better social contract with the people of Scotland, where people’s rights and dignity are honoured and valued, even when times are tough. Our door is open.  It’s time to act.

Read the open letter to the FM and our news story

 

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‘Action needed now to avert health and social care crisis in Scotland’, sector leaders urge First Minister in open letter

More than 200 third sector health and social care leaders have signed an open letter to the First Minister calling for immediate steps to address the crisis threatening the sector

More than 200 third sector health and social care leaders have signed an open letter to the First Minister calling for immediate steps to address the current crisis threatening the sector.

Published today in the Herald on Sunday, the letter makes clear that without action now, the consequences of the crisis will be felt across society, from deepening inequalities to even greater pressure on the NHS and public services – with Scotland’s most vulnerable individuals and families paying the price.

Read the letter and calls in full here.

Led by the Health and Social Care Alliance Scotland (the ALLIANCE) and the Coalition of Care and Support Providers in Scotland (CCPS), and supported by hundreds of its members, the letter makes four key asks of the Scottish Government:

  •   An immediate, substantial cash injection in the upcoming Spending Review, including full cost recovery for employer National Insurance increases
  •   A medium-term fully-funded recovery plan for the sector, to address decades of underinvestment
  •   Multi-year funding agreements adjusted for inflation, to ensure stability for organisations
  •   A firm commitment to fully include the sector in planning and decision-making

The Scottish Government’s recent announcement on reform sets out a commitment to change in the health and social care sector based on the Christie principles, from the widely-supported 2011 Christie Review.

These principles of empowerment, integration, prevention and efficiency provide a blueprint for what public services should be for and how they should be structured.

While the third sector supports these commitments, the reality is that they cannot be delivered without urgent, targeted investment in the very organisations expected to implement the changes.

Evidence from the ALLIANCE and CCPS lays bare the severity of the pressure currently facing the sector, and why the Scottish Government’s ambitions cannot be achieved without investment and stability:

In a March 2024 survey by the ALLIANCE, nearly half (49%) of the member organisations that responded reported their financial position as “insecure”.

A February 2025 poll by CCPS found that 67% of not-for-profit providers are relying on financial reserves to stay afloat – and of these 91% say they will cease to be viable within four years if that trend continues.

Recent data from SCVO shows that 81% of voluntary organisations are facing financial pressures that threaten essential services – an increase of 10% from 2023.

The ALLIANCE and CCPS are committed to working with the Scottish Government to achieve the key asks outlined in the letter in support of your vision for public service reform.

Read the letter and calls in full here.

Read CCPS CEO Rachel Cackett’s blog about the letter and Herald coverage.

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