Care providers have urged the government to take immediate action after the Association of Directors of Adult Social Services (ADASS) warned of closures due to the increased costs arising from Covid-19.
An ADASS survey found only four per cent of respondents were confident their budgets would meet their statutory duties this year – down from 35 per cent in 2019-20.
Estimates suggest care providers will face additional costs of £6.6bn between April and September.
ADASS called for a two-year ring-fenced funding settlement for adult social care as well as reform of the sector, including better pay and conditions for care workers.
The Independent Care Group (ICG) said increased spending on PPE, staffing costs and sickness cover could see private care providers go out of business.
ICG chairman Mike Padgham said: “Social care was already on its knees after decades of under-funding. Coronavirus could be the hammer blow that finishes some provider at an absolutely critical time, unless urgent action is taken now.”
Local authorities have been given £3.2bn by the government to support all of their extra work during the pandemic in addition to the £600m Infection Control Fund for care and nursing homes.
Care England said the government needs to ensure adult social care is adequately resourced to protect the most vulnerable in society.
“Unfortunately the government has used the flawed mechanism of local authorities to dispense much needed money and a huge amount of the Covid-19 relief funds have not reached the front line,” said chief executive Martin Green.
Elderly care charity MHA said 33 per cent of its services had not received any financial help and what has been received did not cover its biggest costs such as PPE and deep cleans.
“The government made much of the £3.2bn and £600m which was ‘ring fenced’ to be given to social care to manage this crisis. We haven’t seen any of the first pot at all and the £600m comes with a level of byzantine criteria so as to make it near impossible to access funds,” said chief executive Sam Monaghan (pictured).