With Labour’s election manifesto announcing a lifetime cap on care costs and the Conservatives expected to follow suit, there will be increasing amounts of public money going into care homes for older people. Labour’s manifesto also sets out that it will expect social care providers to be transparent, cap their profits, and pay their fair share of taxes. This pledge is welcome as without it, there will be problems ensuring that any extra public funding is well spent.
Currently, a substantial chunk of the money which currently goes into the privately-owned adult care home sector doesn't go anywhere near front line care, but instead leaks out to investors, private equity firms, and real estate companies that are often based in offshore tax havens. Pour additional funds into the sector, without reform, and there’s a high risk of more of the same.
