Health & Social Care in Counties: Funding, Demand & Cost Pressures

CCN News 2016 | 18 January 2016

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During 2015, LG Futures were commissioned by CCN to undertake an analysis in relation to health & social care funding and expenditure. For the first time, this new analysis maps social care and Clinical Commissioning Groups (CCGs) funding to local authority boundaries. The research examines the comparative levels of funding and potential demand and cost pressures for CCN members compared to other authority types.

Health & Social Care in Counties

Health & Social Care in Counties

High level findings from this report include:

  • CCN member councils will see their 65+ population grow by 2% per year until 2020, faster than any other local authority type. This demographic growth will lead to significant upward funding pressure in the coming years – £247m by 2020/21.
  • CCN member councils receive 44% less cash funding per head compared to the national average, less than London Boroughs (61%) and Metropolitan Boroughs (53%).
  • On average CCN member councils have witnessed the largest reductions in ASC funding (-22.9%) compared to other local authority types, and higher reductions in estimated cash funding (20.1%) than the national average.
  • There is evidence that demand has grown in counties, while it has declined across other parts of England. Referrals and contacts have increased in county areas, and decreased in all other local authorities’ types.
  • Outside of London, delayed discharges are sufficiently higher in counties than other parts of the sector and are costing local health economies enormous extra costs.
  • There is a projected increase of 14.8% in the number of people in CCN authorities with a limiting long term illness by 2020-21. This will mean an increased CCG funding requirement of £4.4bn for CCN member authorities by 2020-21.
  • Counties receive significantly less CCG funding (£1.2bn) based on their total population of 25.4 million and national average allocations. In total, it is calculated that CCN member councils receive £1.98bn less combined funding for health and social care when compared to other local authority types.

The LG Futures research report can be found here.

CCN have also published a commentary alongside the LG Futures research report. This document highlights the stark reality of the funding and demand challenges facing adult social care and health services in counties.

The CCN commentary and policy proposals can be found here.

Building on our response to the local government finance settlement, the paper sets out a range of proposals for Government to consider in ensuring that the Spending Review achieves its core ambition of a sustainable health and social care system capable of driving forward an ambitious plan to integrate health and social care by 2020.