A new report from the Institute and Faculty of Actuaries (IFoA) has found that while most people in the UK believe social care is an individual responsibility, the majority have made no plans to fund their own long-term care needs.
The research, titled Who cares? Exploring attitudes toward social care in the UK, highlights growing concerns about the country’s readiness for the costs and demands of social care in later life. It reveals that two-thirds (64%) of UK adults think social care is funded mainly by the individual, yet 77% have not taken any steps to prepare for their own care needs.
The findings also show a widespread lack of understanding about how the social care system operates. Over half of respondents (57%) reported limited or no knowledge of the system, while 61% expressed little confidence in their ability to cover the cost of long-term care.
In addition, the report underscores the significant strain placed on unpaid carers. Thirty-eight per cent (38%) of respondents said they either provide or expect to provide unpaid care, and among current carers, one in four spend more than 40 hours a week on caregiving responsibilities.
The IFoA report calls for a coordinated national approach to address these challenges, recommending actions from policymakers, educators, employers, and financial institutions. These include national awareness campaigns on the cost of care, the promotion of long-term care insurance, and the development of flexible pension options that combine workplace and personal investments. The organisation said it would be submitting its findings and proposals to the Casey Commission for consideration.
“It is concerning that so many people do not understand their retirement investment options or the social care system, when many come to depend on it later in life,” Tom Kenny, chair of the IFoA Social Care Working Party, said. “In addition, the expectation that caregiving burdens may fall to relatives, many of whom may be ageing themselves, needs to be addressed.”
He added that “it will take all of us – industry, policymakers, educators and employers – working together to ensure people are better prepared for retirement and older age.”
IFoA president Paul Sweeting said the report demonstrates how actuaries can help society address complex challenges. “As people approach retirement and face the prospect of navigating social care, it is important that they feel prepared,” he said. “The evidence-based solutions proposed in this report will help to empower people to make informed decisions at all stages of life.”
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