The government has released documents relating to its ‘Operation Yellowhammer’ preparations for a no-deal Brexit, which warn of potential damage to the adult social care sector.
Details from the report were leaked to The Times last month, and now opposition MPs have forced the government to release five pages, which confirm that an already “fragile” social care market could face an immediate rise in costs in the event of a no-deal Brexit.
The ‘Reasonable Worst Case Planning Assumptions’ report warns that an increase in inflation following EU exit would “significantly impact” adult social care providers due to increasing staff and supply costs and may lead to provider failure.
It also confirms The Times’ report that small providers could be impacted within two-three months and larger providers within four to six months after exit.
There are also possible concurrent localised risks, including transport or staff disruption, severe winter weather or flu that could exacerbate the existing market fragility, and that cumulatively could stretch resources of providers and local authorities, the report states.
The government says in the report that intelligence will continue to be gathered to forewarn/prepare for any impacts on the sector, including closure of services and handing back of contracts, which are not part of normal market function.