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Providing Services

How the providers are funded

  • 3 things to know
  • A2 3

Overview

How statutory, private, voluntary and informal care are funded, commissioning, block funding and payment per place, self-funders and the charge for personal care, and why social care is harder to fund than health care.

What you need to know

Answer each one before you reveal it.

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Key term

Why does funding by taxation make services vulnerable to political decisions?

Key term

Why is voluntary funding described as insecure?

Key term

How are informal carers funded?

Questions from this subtopic

Each one with the model answer underneath.

  1. 1

    How are statutory health and social care services funded in Northern Ireland?

    Model answer

    Statutory services are funded from general taxation and national insurance, allocated by the Northern Ireland Executive to the Department of Health, which distributes the money to Trusts and other bodies to deliver services.

  2. 2

    Why does funding by taxation make services vulnerable to political decisions?

    Model answer

    The total available depends on the Executive's budget and its choices between departments, so health and social care competes with education, infrastructure and everything else, and a squeeze on the budget shows up directly as pressure on services.

  3. 3

    How are private providers funded?

    Model answer

    Private providers are funded by fees, paid either by the service user or their family directly, or by a Trust that has purchased a place or a package of care under contract, and any surplus is profit for the owner.

  4. 4

    What is a self-funder?

    Model answer

    A self-funder is a person who pays for their own care, usually because their income and assets exceed the threshold at which a Trust will contribute, most commonly in residential and nursing home care.

  5. 5

    How are voluntary providers funded?

    Model answer

    Voluntary organisations are funded from a mixture of donations and legacies, fundraising events, charity shops, grants from government and the National Lottery, and contracts to deliver services on behalf of a Trust.

  6. 6

    Why is voluntary funding described as insecure?

    Model answer

    Donations fall in a recession, grants are awarded for a fixed period and must be reapplied for, and a contract may not be renewed, so an organisation can lose a large part of its income at short notice and have to close a service.

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Informal carers are .
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