Free LTC is top of the agenda for all ages, says a recent survey by IFA RJ Temple
Most people want to see free long term care (LTC) as Chancellor Gordon Brown's top priority for the Budget this year, according to a survey conducted by IFA RJ Temple.
The survey, conducted among 590 people in March this year, found that 60% of all respondents and almost three-quarters of all those aged 55 or over put free LTC at the top of their list.
Liz Walkington, communications manager at RJ Temple, said: 'Free long term care is the top priority for every age group except the very youngest (15-24). The Government announced last year that it would fund free nursing care from October 2001, but this still leaves a big gap in costs for people to meet themselves, so it is no surprise this has remained top of the public's wish list for the Chancellor.
'Many of our clients are worried about the cost of long term care, but feel insurance is also expensive. We use a number of approaches to make long term care insurance more affordable, but would welcome any move by the Government to close this gap.'
Despite increasing pressure from taxpayers to focus funds on healthcare, Steve Muir, marketing manager at PPP lifetime care, said the Government was unlikely to change its stance.
'It is not a surprise people think long term care is a prime issue ' many have first-hand experience of a family member needing to go into care, so it is bound to be high on the agenda. However, the Government has made it clear it will not move on this issue and so insurance remains important as the emphasis shifts towards self-provision,' he said.
Philip Spiers, partner at Nursing Home Fees Agency, agreed: 'I cannot see the Government shifting much on its present policy ' people need to realise they will have to self-fund,' he said.
In its latest economic report, the Centre for Economics and Business Research (CEBR) assessed the potential options for the Government to raise the £10bn a year necessary to bring spending on health closer to the European average.
Author of the report, Angus McCrone, said that a new health tax in addition to higher Insurance Premium Tax and the introduction of VAT on private health services, could hold the answer.
'Most radical would be a new health tax, perhaps even levied alongside National Insurance, at a one pence rate on all income above the lower threshold ' to raise some £4bn.
'There are a host of smaller steps that could be taken, to pick up a few hundred million pounds a year in revenue. These range from higher excise duties on tobacco, alcohol and petrol, to a rise in Insurance Premium Tax and the introduction of VAT on private education and health,' he said.
