National Living Wage may harm elderly care

Standards in elderly care could fall following the introduction of the National Living Wage for care workers unless the Government can plug the shortfall in funding, a think-tank has warned. The Resolution Foundation said over half of young workers have received a £7.20-an-hour rate pay rise, despite it only applying to over-24s.

The study found no evidence of employers limiting shifts to finance the new wage rise and warned local authorities could use the excuse of higher wages to “ration” care services.

Brighton and Hove Labour MP Peter Kyle said: “The Government have got to work out how they can get more money in the sector.”