Boris Johnson rules out higher taxes for over-40s to help fund social care

0

Boris Johnson has ruled out higher taxes for the over-40s to help fund social care.

The Prime Minister has dismissed reports claiming the Government was considering radical action to try solve the ongoing issue of how to pay for care for the country’s ageing population.

⚠️ Read our coronavirus live blog for the latest news & updates

The alleged plans are said to be supported by the Health Secretary Matt Hancock, and would see over-40s would have to pay more in tax or national insurance.

However this afternoon the PM’s official spokesman rejected claims it was being looked at.

He said: “No. It is not true that we are considering this policy.”

A Whitehall source had claimed there was a fresh focus on coming up with ideas to solve the social care crisis.

They said: “As we come out of the Covid-19 pandemic some of the issues that were put on pause during it – like obesity and social care – have come back on stream. The social care problem has been around for ages and there is a renewed focus now on getting it fixed.”

The proposed plan would see the over-40s, including pensioners, paying into a ring-fenced pot for social care which would then give handouts to the elderly and disabled receiving care.

This would take the pressure off when it came to paying for carers.

When the idea was mentioned at a Commons Communities Committee in 2018, Mr Hancock admitted he was “attracted” to the idea.

The PM had vowed to fix the problem during last year’s election, and insisted that he wanted to find a cross-party solution to the care crisis which has dogged various government for years.

During the election campaign Mr Johnson had promised to start cross-party talks within 100 days of being returned to No 10.

Speaking this year he added: “This has been shirked by governments for about 30 years.

“Now we have the majority we need, we’re going to get on with this so people can get the care they need in their old age but don’t have to sell their home.”

He promised that in future no one would have to sell their home to pay for social care, but has failed to spell out how it will be funded.

The Department for Health said the Treasury would decide the best way of allocating funds.

Pensioners currently must pay the full cost of their social care until their assets, including the value of their home, fall to £23,250.

Japan and Germany both fund social care for their populations in a similar way.

In Germany 1.5 per cent of every person’s salary, and a further 1.5 per cent from employers or pension funds, are ringfenced to pay for care.

Share.

About Author

Leave A Reply