Wednesday 24 November 2021 / 12:51 PM Keir Starmer / Social Care

Revealed: How far Boris Johnson’s manifesto-breaking ‘working-class dementia tax’ changes will deepen regional inequality

The Tories’ working-class dementia tax will disproportionately hit families in the Midlands and the North of England, reveals new research from Labour.

It comes as Labour leader Keir Starmer challenged Boris Johnson at Prime Minister’s Questions over the broken promises and unfairness at the heart of his manifesto-busting plans.

Labour’s research shows that the changes to the Government’s social care plan this week means:

  • The average homeowner in two-thirds of Northern areas will have to pay more towards their care

  • In a third of areas in the Midlands the average homeowner will also face higher costs

  • The average homeowner in not a single constituency in London or the South of England will be affected.

Under changes that scraped through parliament this week, homeowners with houses worth under £186k will be hit with higher costs, while those with homes worth over £186k will be unaffected.

A person with assets worth £100,000 – most of it tied up in their own home – will now contribute 80 per cent of their wealth to care costs and almost certainly lose their home.

Meanwhile someone with assets worth £1,000,000 would lose less than 10% of their wealth, and therefore be more likely to keep their home.

Keir Starmer MP, Leader of the Labour Party, said:

“Another broken promise from the Prime Minister means families across the country still face the catastrophic prospect of selling their home, while paying more in taxes to protect the mansions and estates of the wealthiest.

“It’s a working-class dementia tax.”