Extra council tax in capital will bring £20m a year for Kent care

The country is on the brink of a “social care crisis” if funding for the care of the elderly is not improved. Business editor spoke to Kent County Council leader Paul Carter, top right, to find out what can be done

Kent could receive an extra £20m a year for social care if council tax bills in London are paid more fairly, the leader of Kent County Council has claimed.

Cllr Paul Carter has called for inner London boroughs to pay a fairer household levy, which he said could raise £1 billion which could be “redistributed proportionately to the counties”.

Council tax in the City of London, where the average house price is £964,875 according to Rightmove, costs just £931.20 for a Band D property.

Meanwhile, a Band D property in Kent, where the average property is valued at £326,972, will fetch a council tax bill of £1,113.55.

“Everyone agrees that the current system is not fair and equitable,” said Cllr Carter.

“Many London boroughs charge council tax of £650 a year whereas in Kent we may charge £1,500 to £1,600 a year.

“There is over-funding in inner London which amounts to £1 billion. If council tax payers paid the same as the average for the rest of the country, over the next three to four years that would redistribute £1 billion out of inner London to the county shires.

“If that were redistributed proportionately to the counties, Kent would receive an extra £20 million funding from the national government.”

The comme n t s c o me amid increasing demand for adult social care resources against declining funding.

Nationally the number of people aged over 60 is expected to pass the 20 million mark by 2030 and within Kent, by 2026, the number of people 65 or over is expected to increase by 43.4%.

More than 80% of the council’s budget for adult social care is spent through the Kent care market, made up of around 500 providers, employing more than 40,000 people.

Cllr Carter said: “We know the numbers, and demand is going to increase substantially.

“Sustainable funding for social care is a rising challenge for local government and demand increases as more people r each old age and have i nten- sive social care packages.

“We have got to work closely with central Government on new ways of raising additional money.”

In December, Communities Secretary Sajid Javid confirmed plans to allow councils to charge up to an extra 3% on council tax bills for adult social care, up from 2% originally planned.

This gives them the ability to raise an additional £208 million this year. It comes on top of a new adult social care grant worth £240 million.