Health and Social Care Levy comes into effect

The Health and Social Care Levy is coming into effect to begin raising billions to help tackle the Covid backlogs and reform the adult social care system.

Over the next three years, a record £39 billion will be invested in the health and social care system to ensure it has the long-term resource it needs to provide world-class care, while delivering the biggest catch up programme in the NHS’ history.

The number of people waiting for elective care in England is over six million and is expected to rise, as up to 10 million people didn’t come forward for treatment during the pandemic.

The government says that the ‘necessary, fair and responsible’ Levy will reduce waiting times and deliver millions more scans, tests and operations, while reforming the way routine services are delivered so the NHS is fit for the future.

This means the NHS resource budget will increase to over £160 billion in 2024-25, including £5.9 billion of capital investment to support diagnostics, technology, and elective recovery.

The funding will aim to deliver 30 per cent more elective activity in three years’ time than before the pandemic, as well as 17 million more diagnostic tests over the same time period.

On social care, the Levy will end spiralling social care costs, provide a limit to the cost of care for everyone in the adult social care system for the first time, and significantly increase state support.

Health and Social Care Secretary Sajid Javid said: “The pandemic put unprecedented pressure on the NHS and is causing the Covid backlogs. This investment will go into tackling those backlogs and will help make sure everyone can get the care and treatment they need.

“We can’t have business as usual, which is why we are rolling out Surgical Hubs and Community Diagnostic Centres up and down the country to deliver millions more scans, checks and operations. This vital funding will ensure the NHS is equipped to not only reduce waiting times but also tackle the big challenges we face – from cancer to heart-disease and dementia. We will also reform the adult social care system, invest in the workforce and protect people from catastrophic care costs.”