Care Homes: Employers' Contributions
The question
To ask the Secretary of State for Health and Social Care, if he will make an assessment of the impact of the increase in employers’ National Insurance contributions on care homes.
Answered by Stephen Kinnock
The Government considered the cost pressures facing adult social care as part of the wider consideration of local government spending within the Spending Review process. This assessment took into account a wide range of factors, including changes to employer National Insurance contributions, and the National Living Wage increases. No specific assessment has been made on the impact of an increase to employer National Insurance contributions on care home providers.
In response to the range of pressures facing local authorities, the Government is providing a real-terms uplift to core local government spending power of approximately 3.2%, which includes £1.3 billion of new grant funding in 2025/26.
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