Services for people with high personal care needs must be met through councils’ social services budgets not Supporting People funding, the government has warned, writes Shirley Kumar.

Announcing a real terms seven per cent cut to the Supporting People budget over the next three years, officials from the Office of the Deputy Prime Ministers said services for client groups such as those with mental health problems or more severe learning difficulties were not appropriate for the funding.

Councils will be expected to share £1.72bn in 2005/06, followed by £1.7bn in both 2006/07 and 2007/08. The 2004/5 budget remained at the £1.8bn level reached in 2003/4, although councils are expected to make efficiency savings of 2.5 per cent.

How the money will be distributed for 2005/6 will be announced later this year, but councils deemed to be overspending in comparison with their neighbours could have their individual budgets slashed by as much 7.5 per cent in the first year alone.