It has been known for some time that a huge transition in the way local authorities will fund social care service providers over the short to medium term was coming, until now the details have been sketchy and to some extent remain so, however locally some key points are as follows.

  • Haringey will have seen its funding from central government cut from around £400m in 2010 to just £210m in 2018. With £117m of cuts already made to date, a further £70 million in savings is required over the next three years.
  • In the financial years 2015/2018 a reduction of £30 million in General Social Care.
  • In the financial years 2015/2018 a reduction of £8.1 million in the budget for Adult Social Care, from an overall budget of just over £18 million.
  • Closure of residential homes and day services.
  • As shift in expectation on residential service providers to also provide day opportunities for their customers (some maybe funded form PB’s however not all)
  • The implementation of the Care Act 2015 and the subsequent requirements on the local authority.

With budget reductions on an unprecedented level like these the implications for contracted service providers will be at best a challenge, and for some will undoubtedly be terminal.

The rhetoric coming from the local authority is one of expecting service providers to become much more self sustaining, generate income and use of social enterprise models, sadly there is little information about how local authorities will assist service providers to do this.

The challenges ahead are numerous and many not even known yet, for service providers working with such uncertainty can make it impossible to effectively plan for the future, further, the apathy this uncertainty produces can lead to inertia.

However without over-egging enthusiasm, there are also opportunities, the foremost of which is the chance to examine how we generate income/fundraise, explore new ways of doing this and map our internal resources to understand what we have to create income.