12 care companies threaten to withdraw services in Leeds amid financial dispute

The care companies, which represent half the city’s providers, have written to Leeds City Council saying they will be forced to stop looking after their 1,500 service users unless the council stumps up more cash.
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Leeds could face a collapse of its care system as 12 of the cities providers have threatened to withdraw their services, according to GMB.

The care companies have written to Leeds City Council saying they will be forced to stop looking after their 1,500 service users unless the council provides more financial support.

The cost of care provision will rise by an estimated 8.6% due to National Insurance increases and inflation.

The council is currently offering a 1.6% increase in funding, leaving a deficit of 7% to be borne by the care providers, GMB has said.

The care companies urged the council to reassess the proposed uplift, move towards a neighbourhood model, as used in Bradford and Sheffield, and strengthen provider engagement and oversight.

Peter Davies, senior organiser at GMB, said: “GMB has tried to speak to the leader of the council, as well as the lead for Adults and Social Care.

“So far, they have ignored us – just as they have ignored their so called delivery partner.

“At the last executive board meeting, councillors told colleagues all was well with care in the city.

“At the next meeting, GMB carers may be forced to turn up and give them some home truths.”

A spokesperson for Leeds City Council said: “As is usual for this time of year, the council is in the process of setting its fees for care and support services.

“The process this year has taken longer than usual given the council’s considerable financial pressures mainly arising from an increase in demand for adult care services. 

“Whilst no decisions have been taken, our fee proposals have been subject to an extensive formal consultation process. 

“We have met with the care providers and have listened to their concerns regarding their cost pressures. 

“Their feedback is now being considered and will inform the decisions the council will make about the fee increases that will be applied for the next financial year.”

Zarah Choudhary

Zarah Choudhary is a Reporter for Workplace Journal and The Intermediary

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