Health and Social Care

Lord Lipsey Excerpts

Thursday 9th September 2021 Lords Chamber

[Baroness Evans of Bowes Park (Con)]

That is exactly what we intend to happen. In fact, Scotland, Wales and Northern Ireland will benefit from around 15% more than is generated for their residents, which will be equivalent to around £300 million every year on average. As a total, Scotland, Wales and Northern Ireland will benefit from an additional £2.2 billion each year on average. We intend to put the money directly into the health services across the nations, as the noble Baroness said.

[Lord Lipsey (Lab)]

My Lords, as I think I was the first person to propose a cap on care costs in the minority report to the royal commission in 1999, it would be churlish of me not to welcome the fact we are now getting one, albeit a mere 22 years after I first proposed it. It is disappointing that the Government have concentrated their sole attention, practically, on government, state-funded—which means national insurance-funded—care and have apparently paid no attention whatever to the great role that the private sector can play in helping richer people to afford their care in later years.

[Baroness Evans of Bowes Park (Con)]

The noble Lord will be well aware that historically there has been very low demand for social care insurance products and insurers have actually withdrawn products from the market. We believe that there will now be certainty about costs faced by individuals. We hope that more financial products will come on to the market to enable individuals to plan for their future care needs. We intend to work with the financial services industry to innovate and help people insure themselves against expenditure up to the limits.