GPs, pharmacies and care homes “must be recognised as crucial parts of our healthcare system” and new funding should be provided to cover National Insurance rises, Ceredigion Preseli MP Ben Lake has said.
Mr Lake, the Plaid Cymru Treasury spokesperson has raised “urgent concerns” over the impact of changes to employers’ National Insurance contributions on healthcare providers in Wales in the House of Commons.
As employers’ National Insurance contributions increase, questions remain around whether the UK Treasury will allocate additional new money to cover costs for GPs, pharmacies and care homes.
During an Urgent Question in the House of Commons, Mr Lake urged for clarity on whether funding to support GPs, pharmacies and care homes will come from the existing budget of England’s Department of Health and Social Care, or whether the Treasury will provide additional new money.
Wales would receive no additional funding if funds will be provided from current budgets.
If the Treasury provides new money for healthcare providers in England, Wales would receive additional funding through the Barnett formula.
Mr Lake said it was “concerning” that there was no clarity over two weeks since the Budget, and said that GPs, pharmacies and care homes should be recognised as “crucial parts of our healthcare system”.
"GPs, pharmacies, and social care homes across Ceredigion Preseli have contacted me to express their concerns about the impact of policy changes regarding employers' National Insurance contributions,” he said.
“It is essential that they are supported with the costs arising from this policy.
“The minister has suggested that there may be additional support available for some through the usual systems.
“Can I ask her to clarify whether that funding will come from the Department’s existing budget or if there will be new money allocated from the Treasury?
The Minister of State for Health, Karin Smyth MP responded that she “understands the concerns of the providers” and that while there “has already been significant benefit from Barnett consequentials in the current Budget”, the UK Government “will continue to talk with the devolved regions to ensure that we have a good system across the entire United Kingdom."
Speaking after the session, Mr Lake said it was “concerning that over two weeks since the Chancellor delivered her Budget, the UK Government is still unable to say whether the Treasury will deliver additional funding to help meet the additional National Insurance costs for GPs, pharmacies and care homes.”