Minister backs costly care policy

Scotland's health secretary remains committed to free personal care for the elderly, despite a report which said it faced an uncertain financial future. Nicola Sturgeon said it was a "good policy", but she added that future costs would determine decision making. Spending watchdog Audit Scotland revealed on Friday that there was a funding shortfall of up to £63m. It also said the policy, introduced in 2002, differed greatly from council to council. Local authorities said the report showed they were right to press for reform of the free personal care legislation.

Cosla spokesman Ronnie McColl said: "We have long argued that the legislation is unclear in terms of councils' entitlement to charge residents for assisting with the preparation of food."

Audit Scotland reported that the free personal and nursing care scheme needed to be better planned, managed and funded.

Ms Sturgeon said talks would be held with local authorities with an aim to improve the legislation. She added: "We have to find out what the cost for the future is and take decisions based on that. But I am saying to you very clearly the new government is committed to this policy. It is a good policy and we will take the action necessary to make sure that it lasts for the long-term."

About 72,000 older people receive personal care services free of charge. Audit Scotland said the annual funding gap of up to £63m was expected to worsen. It said initial cost estimates were difficult to make because of limited information, but monitoring had also been limited and long-term cost estimates had not been made by the government since 2001.

It added that the government and councils should work "as a matter of urgency" to clarify ambiguities with the policy. Auditor General Robert Black said the policy was an important one for older people in Scotland. He added: "It is well documented that Scotland has a growing older population and demand for free personal care will grow. There needs to be better planning and better funding of this policy."

The payments, increased in line with inflation, are about to go up to £149 a week for personal care, with an additional £67 for those in a care home which provides nursing care. The total cost of the policy in the first four years was £1.8bn, although councils would have spent £1.2bn even if the policy had not been introduced, as some free services were previously provided. This £600m gap had led to a growing shortfall in government funding, and by 2005 this annual gap was either £46m or £63m, depending on the assumptions used.