The UK government has stated there are no plans to resurrect a so-called death tax to fund adult social care reform, a day before Prime Minister Andy Burnham is expected to outline his proposals in a speech.
Background on the death tax proposal
In 2010, when serving as health secretary, Mr. Burnham suggested a levy that would take 10% of an individual's estate after death to fund a proposed national care service. The Conservatives opposed the plan, labelling it a "death tax."
Current government position
A government spokesperson said: "There are no plans for this. Fixing our social care system will require building a broad consensus. The old way of doing politics has held up social care reform for decades. Our immediate focus is on working together to find common ground and deliver the reforms needed to fix the future of social care – not imposing one particular solution or tax."
Conservative leader Kemi Badenoch has written to Mr. Burnham, challenging him to rule out tax increases or borrowing to fund social care reform.
Ongoing reform efforts
In his first speech as Labour leader, Mr. Burnham mentioned social care as a long-neglected issue needing courage to fix. Under former Prime Minister Sir Keir Starmer, a commission on social care led by Baroness Louise Casey was announced in January 2025 and formally began in April 2025. The first report, with short-term recommendations, is expected this autumn, while the second phase, with long-term recommendations, is due by 2028.
Baroness Casey recently told a committee of MPs that the work might be completed sooner if requested. She noted there have been 22 attempts to reform the sector since 1997, none of which "fixed the foundations." Her interim report will propose "quite big" changes to a system she describes as "patched together," often causing "agony and uncertainty" for vulnerable people.
