Two House of Commons Committees have published a report that recommends a new tax on the over 40s to fund the cost of care for the elderly.
At the moment, only those on the lowest incomes receive any help with social care, leaving many to fund the costs themselves.
The proposed tax – referred to as a social care premium – would apply to those over the age of 40 and would include retired people living on lucrative pensions and investments. The report also suggests that employers should make a contribution and that the premium could be supplemented by a levy on Inheritance Tax for estates valued above a certain threshold.
The money raised would be used to make sure that care is available to everyone who needs it and would also ease increasing pressure on the wider social care system.
Chair of the Health and Care Social Committee, Sarah Woolaston, commented: “We can no longer delay finding a fair and sustainable settlement for social care. Too many people are being left without the care and support they need and it is time for decisions to be made about how the costs are shared.”
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