Subscribe Login
Jamaica Observer
ePaper
The Edge 105 FM Radio Fyah 105 FM
Jamaica Observer
ePaper
The Edge 105 FM Radio Fyah 105 FM
    • Home
    • News
      • Latest News
      • Cartoon
      • International News
      • Central
      • North & East
      • Western
      • Environment
      • Health
      • #
    • Business
      • Business Bites
      • Social Love
    • Sports
      • Football
      • Basketball
      • Cricket
      • Horse Racing
      • World Champs
      • Commonwealth Games
      • FIFA World Cup
      • Olympics
      • #
    • Videos
    • Entertainment
      • Music
      • Movies
      • Art & Culture
      • Bookends
      • #
    • Lifestyle
      • Page2
      • Food
      • Tuesday Style
      • Food Awards
      • JOL Takes Style Out
      • Design Week JA
      • Black Friday
      • #
    • All Woman
      • Home
      • Relationships
      • Features
      • Fashion
      • Fitness
      • Rights
      • Parenting
      • Advice
      • #
    • Obits
    • Classifieds
      • Employment
      • Property
      • Motor Vehicles
      • Place an Ad
      • Obituaries
    • More
      • Games
      • Elections
      • Jobs & Careers
      • Study Centre
      • Jnr Study Centre
      • Letters
      • Columns
      • Advertorial
      • Editorial
      • Supplements
      • Webinars
    • Home
    • News
      • Latest News
      • Cartoon
      • International News
      • Central
      • North & East
      • Western
      • Environment
      • Health
      • #
    • Business
      • Business Bites
      • Social Love
    • Sports
      • Football
      • Basketball
      • Cricket
      • Horse Racing
      • World Champs
      • Commonwealth Games
      • FIFA World Cup
      • Olympics
      • #
    • Videos
    • Entertainment
      • Music
      • Movies
      • Art & Culture
      • Bookends
      • #
    • Lifestyle
      • Page2
      • Food
      • Tuesday Style
      • Food Awards
      • JOL Takes Style Out
      • Design Week JA
      • Black Friday
      • #
    • All Woman
      • Home
      • Relationships
      • Features
      • Fashion
      • Fitness
      • Rights
      • Parenting
      • Advice
      • #
    • Obits
    • Classifieds
      • Employment
      • Property
      • Motor Vehicles
      • Place an Ad
      • Obituaries
    • More
      • Games
      • Elections
      • Jobs & Careers
      • Study Centre
      • Jnr Study Centre
      • Letters
      • Columns
      • Advertorial
      • Editorial
      • Supplements
      • Webinars
  • Home
  • News
    • International News
  • Latest
  • Business
    • Business Bites
  • Cartoon
  • Games
  • Food Awards
  • Health
  • Entertainment
    • Bookends
  • Regional
  • Sports
    • Sports
    • World Cup
    • World Champs
    • Olympics
  • Videos
  • Career & Education
  • Classifieds
  • All Woman
  • Environment
  • Webinars
  • More
    • Football
    • Elections
    • Letters
    • Advertorial
    • Columns
    • Editorial
    • Supplements
  • Epaper
  • Design Week
UK leader Johnson gambles on tax hike to pay for elder care
Britain's Prime Minister Boris Johnson takes part in an activity,during a visit to Westport Care Home in Stepney Green, eastLondon, yesterday, ahead of unveiling his long-awaited plan to fixthe broken social care system. (Photo: AP)
News
September 8, 2021

UK leader Johnson gambles on tax hike to pay for elder care

LONDON, England (AP) — UK Prime Minister Boris Johnson announced yesterday how he plans to keep a key election promise to grapple with the rocketing cost of long-term care for Britain’s growing older population. However, to do it, he broke another election vow – not to raise taxes.

Johnson told lawmakers in the House of Commons that his Conservative Government had made the “difficult, but responsible” decision to hike taxes in order to raise £36 billion pounds (US$50 billion) over three years for social care and the overstretched National Health Service (NHS). The NHS faces a backlog of millions of delayed appointments and procedures after 18 months of novel coronavirus pandemic pressures.

Johnson said there would be no more “dither and delay” about reforming social care.

“Governments have ducked this problem for decades,” he said.

That burden of funding care for older, sick, and disabled adults in Britain currently falls largely on individuals, who often have to deplete their savings or sell their homes to pay for it. One in seven people end up paying more than £100,000 (US$138,000), according to the Government, which calls the cost of elder care “catastrophic and often unpredictable”.

Meanwhile, funding care for the poor, who can’t afford it, is placing a growing burden on overstretched local authorities.

Johnson announced a 1.25 per cent increase in the National Insurance health payments made by working-age people and their employers, saying the move was “responsible, necessary, and fair”.

But it breaks Johnson’s promise in the 2019 election campaign to not hike personal taxes. The increase, which takes effect in April, will cost someone paid £21,000 (US$27,500) a year about £180 (US$248) more on their annual tax bill. High earners who are paid £67,000 pounds a year (US$92,000) will pay more than triple that.

Taxes on income from stock dividends will also rise 1.25 per cent to defuse claims that the burden is falling only on working people.

Breaking promises is hardly novel for politicians, but those enshrined in British parties’ election manifestos have long been considered binding on governments. Johnson’s plan has alarmed many Conservative lawmakers — both because it involves breaking a firm election commitment and because the burden would fall primarily on workers.

Jake Berry, one of a crop of Conservative lawmakers representing northern England who won seats from the Labour Party with promises of investment and new jobs, said the proposed plan would help affluent, older voters at the expense of younger, poorer ones.

William Hague, a former Conservative leader, said breaking an election promise would mean a “loss of credibility when making future election commitments, a blurring of the distinction between Tory and Labour philosophies, a recruiting cry for fringe parties on the right, and an impression given to the world that the UK is heading for higher taxes”.

Johnson said breaking an election promise was “not something I do lightly. But a global pandemic was in no one’s manifesto”.

Under the Government’s plan, which must be approved by Parliament, the amount people have to pay in their lifetime for social care will be capped at £86,000 (US$118,500) starting in 2023, and everyone with assets of less than £100,000 (US$138,000) will get some State support.

Care organisations largely welcomed the announcement, but an employers’ organisation, the Institute of Directors, said it would add “additional burden to business and the cost of employing staff, just as it looks to recover from the pandemic”.

Some analysts said the new tax would raise money but do little to the expensive, inefficient way care is delivered through a patchwork of largely private companies. The Institute for Public Policy Research, a centre-left think tank, said the Government’s announcement was “a first step on a long reform journey”.

“Delivering quality and personalised care remain huge challenges for our care system, as does a fair deal for social care workers,” said senior research fellow Chris Thomas.

Attempts to reform the care system have stymied British governments. Johnson’s predecessor, Theresa May, another Conservative, campaigned in a 2017 election on a plan to cut benefits to retirees and change the way they pay for long-term care. The idea was quickly dubbed a “dementia tax” by opponents and May ended up losing her majority in Parliament.

The changes Johnson have proposed apply only in England. Scotland, Wales, and Northern Ireland have separate arrangements for elderly and disabled care.

Keir Starmer, leader of the Opposition Labour Party, said the Government’s reforms, coming after a decade of Conservative Government austerity programmes, did not go far enough.

“He’s putting a sticking plaster on gaping wounds that his party inflicted,” Starmer said.

{"website":"website"}{"jamaica-observer":"Jamaica Observer"}
img img
0 Comments · Make a comment

ALSO ON JAMAICA OBSERVER

JRA to stage 10th President’s Cup IPSC match this weekend
Latest News, News
JRA to stage 10th President’s Cup IPSC match this weekend
July 22, 2026
KINGSTON, Jamaica — The Jamaica Rifle Association (JRA) is set to host the 10th staging of its President's Cup Level III IPSC Match on Saturday, July ...
{"jamaica-observer":"Jamaica Observer"}
University student suspected of drowning in St Elizabeth identified
Latest News, News
University student suspected of drowning in St Elizabeth identified
July 22, 2026
ST ELIZABETH, Jamaica — Police on Wednesday identified a university student whose body washed ashore in Treasure Beach on Tuesday, a day after he repo...
{"jamaica-observer":"Jamaica Observer"}
17-y-o suspected of committing suicide in northern Clarendon
Latest News, News
17-y-o suspected of committing suicide in northern Clarendon
July 22, 2026
CLARENDON, Jamaica— Police are probing a suspected case of suicide involving a 17-year-old college student in Carty Hill near James Hill in northern C...
{"jamaica-observer":"Jamaica Observer"}
Kingston Creative becomes first Caribbean recipient of UNESCO-Aschberg grant
Latest News, News
Kingston Creative becomes first Caribbean recipient of UNESCO-Aschberg grant
July 22, 2026
KINGSTON, Jamaica — Kingston Creative has become the first non-governmental organisation in the Caribbean to receive funding under the UNESCO-Aschberg...
{"jamaica-observer":"Jamaica Observer"}
KPH says measures implemented to address operational challenges
Latest News, News
KPH says measures implemented to address operational challenges
July 22, 2026
KINGSTON, Jamaica — Kingston Public Hospital (KPH) says it has implemented a series of measures to address recent operational challenges highlighted i...
{"jamaica-observer":"Jamaica Observer"}
Festival Song finalist hopes ‘Jamaica pon di App’ marks a fresh start after two crashes
Entertainment, Latest News
Festival Song finalist hopes ‘Jamaica pon di App’ marks a fresh start after two crashes
BY HOWARD CAMPBELL 
July 22, 2026
KINGSTON, Jamaica — After surviving two motor vehicle crashes earlier this year, Festival Song finalist Bovia is hoping her entry, Jamaica pon di App ...
{"jamaica-observer":"Jamaica Observer"}
Woman killed, man drinks poison in MoBay
Latest News, News
Woman killed, man drinks poison in MoBay
July 22, 2026
ST JAMES, Jamaica — A man is said to be in hospital after ingesting what appeared to be a poisonous substance while his wife is dead from chop wounds....
{"jamaica-observer":"Jamaica Observer"}
Allen calls for tougher enforcement to keep unsafe motorcycle helmets out of Jamaica
Latest News, News
Allen calls for tougher enforcement to keep unsafe motorcycle helmets out of Jamaica
July 22, 2026
KINGSTON, Jamaica — Claudine Allen, general manager of the JN Foundation, is urging government to move swiftly to enforce Jamaica's new motorcycle hel...
{"jamaica-observer":"Jamaica Observer"}
❮ ❯

Polls

HOUSE RULES

  1. We welcome reader comments on the top stories of the day. Some comments may be republished on the website or in the newspaper; email addresses will not be published.
  2. Please understand that comments are moderated and it is not always possible to publish all that have been submitted. We will, however, try to publish comments that are representative of all received.
  3. We ask that comments are civil and free of libellous or hateful material. Also please stick to the topic under discussion.
  4. Please do not write in block capitals since this makes your comment hard to read.
  5. Please don't use the comments to advertise. However, our advertising department can be more than accommodating if emailed: advertising@jamaicaobserver.com.
  6. If readers wish to report offensive comments, suggest a correction or share a story then please email: community@jamaicaobserver.com.
  7. Lastly, read our Terms and Conditions and Privacy Policy

Recent Posts

Archives

Facebook
Twitter
Instagram
Tweets

Polls

Recent Posts

Archives

Logo Jamaica Observer
Breaking news from the premier Jamaican newspaper, the Jamaica Observer. Follow Jamaican news online for free and stay informed on what's happening in the Caribbean
Featured Tags
  • Editorial
  • Columns
  • Health
  • Auto
  • Business
  • Letters
  • Page2
  • Football
Categories
  • Business
  • Politics
  • Entertainment
  • Page2
  • Business
  • Politics
  • Entertainment
  • Page2
Ads
img
Jamaica Observer, © All Rights Reserved
  • Home
  • Contact Us
  • RSS Feeds
  • Feedback
  • Privacy Policy
  • Editorial Code of Conduct