Cumbria Chamber of Commerce has raised concerns for employers who may be expected to up National Insurance contributions to improve the country’s social care system.
An announcement is expected this week with plans to overhaul England’s social care system by increasing business contributions by an extra 1.25 per cent.
But while the chamber said it recognised change was needed within the system, it was concerned that once again businesses will be put in a difficult position at an already fraught time.
Chamber managing director Suzanne Caldwell said: “While it’s clear that significant action is needed to “fix” our social care system, how do we best fund it? It’s certainly not an easy one and every potential answer will be unpalatable to some.
“But whatever anyone’s political views there has to be a concern about the proposal to do this through National Insurance at the current time, increasing the burden on employers at a time when so many are still emerging from the challenges of the pandemic and facing the cost of paying back COVID loans and hikes in costs of transport, raw materials and wages.”
She added that an ageing population with increasing demand, fewer people receiving the care they need and cuts to local authority spending on social care are the current problems the sector is facing.
