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Concerns that a squeeze on care facilities will affect personal budgets

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Elderly and disabled people are likely to suffer the effects of a £1billion shortfall in social care funding.

Charities have said that those who rely on support could see cuts to their personal budgets, which are provided to them to help pay for the costs of their care.

Increases in fees and charges are also likely to be considered by local authorities looking to plug a black hole in their finances.

Harold Bodmer, who is president of the Association of Directors of Adult Social Services (ADASS), said that there were grave challenges facing the sector and it would be those who are dependent on services who would suffer.

Speaking to the Guardian, he said: “We’re at a tipping point where social care is in jeopardy, and unless the Government addresses the chronic underfunding of the sector, there will be worrying consequences for the NHS and, most importantly, older and disabled people, their families and carers.”

In an effort to address the shortfall, the Government had pushed back plans to introduce a cap on care home fees until the end of the decade and given local authorities the power to levy additional money, although critics have suggested that the extra revenue is far from sufficient.

A Department of Health spokesman said: “Councils have raised £382m of additional money from the social care precept just this year – but the point of the policy is that it can give increased revenue over time, rising to £2bn a year by 2019-20.

“We know that protecting services whilst delivering necessary efficiencies is challenging, which is why we are working with the local government and ADASS to support councils to make savings.”