Funding for social care is failing to “keep pace with demand”, dealing a “serious blow” to vulnerable people, East Renfrewshire’s council leader has said.
Cllr Owen O’Donnell, Labour, warned adult social care services in the area are facing an £8.6m cut. It comes after the national formula for determining how councils receive funding for social care was updated.
The council declared a health and social care emergency in December due to growing financial pressure, with officials, at the time, reporting an estimated £27m funding gap over the next four years.
Cllr O’Donnell said: “East Renfrewshire is one of the fastest growing areas in Scotland, with an ageing population and increasingly complex care needs, placing sustained pressure on our services.
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“Despite this, changes to the national funding formula mean our share of funding is reducing.
“While the council remains committed to protecting health and social care partnership (HSCP) funding at current levels for 2026/26, absorbing an £8.6m shortfall over the next few years will inevitably place additional pressure on social care, as well as other council services.”
At the December council meeting, it was highlighted that changes to the national distribution method could reduce local funding by an estimated £5m to £5.5m, but that has now increased.
Councillors agreed to support the HSCP by providing at least a flat cash settlement for 2026/27, in order to protect services. Ahead of the Scottish Government budget, the Convention of Scottish Local Authorities (COSLA) had called for a £750m investment in social care.
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Cllr O’Donnell added: “These challenges are being felt across Scotland, as COSLA has highlighted, with all HSCPs facing a significant funding gap of around £750m.
“With demand continuing to rise and the national budget failing to keep pace with demand, this reduction represents a serious blow for the most vulnerable people in our communities.”
The council has also highlighted how it is facing significant extra pressures, including national pay agreements, inflation, rising demand for care at home and residential services and the ongoing costs of delivering statutory social work duties.
Cllr O’Donnell said: “The way funding is now being distributed does not fully reflect the real pressures facing communities like ours.
“Although there are mechanisms in place that temporarily lessens the impact of councils, these will reduce over the coming years meaning the full effect of these changes will be felt at the same time as our core budget allocation from the Scottish Government is expected to remain at the same level.”
