26 February 2025

“Success at Westminster, dismay at Holyrood. But on eNICs exemption, we are back in the running”

Rachel Cackett responds to yesterday’s vote in the House of Lords on amendments to the National Insurance Bill – and the passing of the 2025-26 Scottish Budget

So, first the good news. Last night the House of Lords voted through amendments to exempt the vast majority of the health and social care sector from catastrophic NI increases, as set out in the National Insurance Contributions (Secondary Class 1 Contributions) Bill. The Lords also passed a key amendment which would make the government report on the impact of national insurance changes.

Over the past few weeks, we’ve been discussing the National Insurance Bill with MPs and engaging with peers on amendments. Many of our members have shared their own organisation’s perspectives about how the eNICs change would impact them, and the consequences for the people they support and employ. I want to thank all the members of the House of Lords who worked on and laid amendments yesterday, and every single peer who listened and voted for exemption to save social care. We can’t tell you how much your advocacy matters for social care in its time of crisis.

Yesterday’s votes give us hope, but the changes aren’t in the bag yet. Now they go back and forth between the Lords and Commons and we will need a lot of Labour MPs to stand up for what is right here, if these wins are to hold. But yesterday morning we saw no room to manoeuvre; today we are back in the running. We’ll take that for now.

In contrast to events in the Lords, yesterday the Scottish Budget was passed at Holyrood with zero commitment to eNICs cost recovery for providers from the Scottish Ministers and only cursory mentions of the sustainability crisis in our sector. This, despite us sharing compelling evidence of the disastrous consequences the policy will have for not-for-profit providers and the people they support.

Earlier this month we conducted a 24-hour survey of our member organisations. Over 50 members participated, representing a combined expenditure of over £850m, employing around 28,000 staff and supporting over 230,000 people across the whole of Scotland. Amongst the sobering responses, we learned that:

  • 57% of respondents are seriously considering handing contracts back to commissioners next year
  • 67% of respondents are budgeting for 2025-26 on the basis that they only expect to reach financial balance through the use of reserves. And of these providers: 91% would no longer be a going concern within four years, if they continued to reach financial balance through drawing down reserves in this way.

With an election year just over a year away, and with so much at stake for the Scottish people, we are surprised the Scottish Government seems ready to live with the consequences of choosing not to fund our sector and supported people. We are just as surprised that a new UK Labour Government chose to put the entire sector at risk through this deeply ill-judged tax, which disproportionately impacts low- paid women. Looking at headlines from the last couple of weeks from both sides of the border, it seems emergency funds can be found for other things – but not vulnerable people. It was ever thus.

But where both elected governments have failed the sector so far, the Lords have provided. So, our energy now turns back to Westminster and efforts to persuade MPs to see the value of social care – and how destructive the eNICs policy would be. There is – thanks to yesterday’s actions – still track ahead.  Please, UK Labour and Rachel Reeves, don’t waste this opportunity.

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2 December 2024

It’s time to give the gift of Fair Pay…

As we enter Budget season, we’ve launched a campaign urging Scottish Government to invest in the workforce and cover the costs of the NI rise

Social care staff deliver vital public services in communities across Scotland, and they should be paid more than the minimum it costs to live.

They are working in a context where public sector cuts, lack of Fair Work and impending changes to Employers’ National Insurance are risking the viability of many services.

So we’ve launched a campaign urging the Scottish Government to give them More Than Warm Words this winter.

For the 2025-26 Budget we’re calling on them to:

  • Take a genuine first step towards the promise of Fair Work. Invest in our people by committing to the Real Living Wage + 10% in 2025-26, as the minimum for all frontline support staff. Stop the loss of essential workers
  • Cover the full costs of ongoing eNICs changes for not-for-profit social care providers, even if Westminster won’t. Otherwise, watch services disappear, unemployment rise, unmet need increase and the NHS crisis worsen.

Across the Scottish Budget period, we’ll be sharing messages and videos from our members in support of the campaign.

We’ve sent our members, and parliamentarians, a mug emblazoned with the campaign message.

And we’ll be calling on MSPs to speak up for the social care workforce and help give them the gift of Fair Pay.

Read the Budget briefing we sent MSPs

Read our press release about the letter we sent the Chancellor on NI

Follow the campaign on our social channels with #MoreThanWarmWords

For more information about the campaign and how to take part, email of Communications & Engagement team: comms@ccpscotland.org

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4 December 2023

Comment: “Social care could be the gift that keeps on giving for Scotland. But only if the government rethinks its budget”

Marking the launch of our new Rethink To 13 campaign, Rachel Cackett argues that £12 p/h for staff is too low, is ethically wrong, and flies in the face of what Scotland need to enjoy equality, opportunity and community

On the 19th December, during the last week of 2023 for the Scottish Parliament, the government will publish its draft budget.

In unprecedented times, we are hoping for something a bit different from this budget.

For years now, there have been calls for the Scottish Government to be far more transparent in setting out how its draft budget is intended to match investment to its stated priorities. This is a primary task of government: To ensure that funds raised from the public are invested in the things the democratically elected government has told us are important.

And when things are tight, justifying the allocation of too few resources to those things that a government says matters most is more important than ever.

So, perhaps the government can do something different this year.

The first minister has stated that all funding decisions must deliver against three things:

  1. Equality, by tackling poverty and protecting people from harm during the cost-of-living crisis
  2. Opportunity through a fair, green and growing wellbeing economy that can support improved living standards, reduce poverty, and sustain high quality public services, and
  3. Community by prioritising public services – building sustainability and reducing inequality.

So, perhaps we can expect the budget to be structured to show clearly how decisions to invest – and disinvest – will deliver these.

Perhaps, for example, we will see a commitment to the funding of sustainable social care services that support families facing poverty or destitution in the current financial climate to stay afloat, to keep a home, to feed their families and keep children in school.

Or to services that support disabled people, or people with long term health conditions – who face a myriad of daily inequities – to maintain their right to independent living and stay well in their own homes.

Or to mental health services that help prevent adults and children reaching crisis – and stop yet more people waiting too long for NHS services that just aren’t there – so that they can live connected, engaged lives as participants in work, school, family and community.

Or to the availability of social care and support for everyone who needs it so that unpaid carers can maintain jobs that can keep their families afloat.

Or to those staff in our sector, overwhelmingly women, who provide care and support to some of the most vulnerable members of my family and yours – but are paid far less than those in the public sector to do equivalent jobs simply because the government doesn’t provide enough funds.

Staff who may often work – and spend their wages – in the communities they support. Staff who are often working part time to juggle their unpaid caring responsibilities.   Staff who desperately need equality, opportunity and community.

You see, social care and support – ever the Cinderella of public service investment – could be the FM’s answer this Christmas. It could be the gift that keeps on giving; the glue that binds his priorities to effective investment. But it’s only possible with a workforce to deliver it.

And there’s the issue.

Half the people who moved jobs in our sector last year left social care altogether. And the unethical approach to embedding pay inequity into public service delivery means staff continue to leave and social care isn’t always there when you, or I, or our loved ones need it.

The FM has already imposed a £12 p/h pay deal for social care and support staff in our sector next year and, sadly, we expect to see this confirmed in the draft Budget on 19 December. But this won’t help the government meet its own budget priorities; it will undermine them.

So, Scottish Government, rethink your budget.

Investing at the very least £13 p/h in 2024-25 for all social care staff in our sector is the absolute minimum that will cut it – and that only as a first step in a plan to reach parity in pay.

£12 is too low; it’s ethically wrong; and it flies in the face of what you’ve told us it matters to invest in and what many people in Scotland need to enjoy equality, opportunity and community.

Please. Rethink your budget.

#RethinkTo13

Find out more about the campaign here.

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