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Councils facing £10bn ‘coronavirus black hole’ that could swallow up 225,000 adult social-care places

COUNCILS are facing a £10 billion “coronavirus black hole” and the equivalent of 225,000 adult social care places could be lost if the government breaks its funding promise, Labour warned today.

Shadow communities and local government secretary Steve Reed warned that a government U-turn on funding for local authorities  would be a “catastrophe for social care.”

Up to 178,000 long-term adult social-care places for over-65s and 47,000 short-term places would be affected.

Mr Reed warned ministers against breaking a promise that they would “do whatever it takes” to support cash-strapped councils through the pandemic. 

Labour said a shortfall of £10bn would result in “21 per cent cuts across the board” — including a £3.5bn reduction in adult social-care budgets, a £2bn cut to children’s social care and £700 million less for public health.

Other key council services at risk of cuts include libraries, children’s centres, leisure centres, parks, road safety, road gritting and street lighting.

Mr Reed said: “Unless the government drops those [funding cut] plans the frontline heroes we’re cheering today will lose their jobs tomorrow and the equivalent of 225,000 frail and frightened older people and vulnerable adults will lose the support they rely on.

“That would be a catastrophe for social care, disastrous for those who lose support as providers are forced out of business, and would once again fail the very people putting their lives on the line to get us through this crisis.

“This government promised to do whatever it takes — if our loved ones see care taken away in their hour of need it will be devastating and unacceptable. The government should change course, now.”

Labour cited research based on the 2019/20 Budget which estimates local authorities’ coronavirus-related income losses, along with data from the Kings Fund and Department for Health and Social Care.

Mr Reed also described the government’s promised £600m of new funds to control infection in care homes as a “drop in the ocean.”

Communities Secretary Robert Jenrick acknowledged that the coronavirus crisis in care homes was “terrible.”

He insisted that the extra cash and getting carers and residents tested for the virus would “help the alleviate some of those challenges.”

His comments came as the number of coronavirus-linked deaths rose today by 428 to 33,614 and the number of positive tests rose by 3,446 to 233,151.

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