Disability charities say rise in NICs will cause 'life-changing' cuts to services

Charities have warned of "life-changing consequences" for 1 million vulnerable children and adults as a result of cuts to state-funded disability services driven by tax changes and wage rises announced in the budget.

- Patrick Butler, Sally Weale

The Voluntary Organisations Disability Group (VODG), which represents 100 charities in England, said Rachel Reeves's "ill-thought-through" decision to raise national insurance contributions (NICs) would put many local charity services at risk.

The warning came amid Guardian reports that the government is to offer a financial lifeline to protect hospice charities, which had said the rise in NICs would cost them £30m a year and lead to end-of-life services being cut or even closing.

The VODG, which represents household names such as Mencap and Sense as well as scores of smaller disability charities, said the NICs and national living wage increases would leave many members having to cut back on staff and services.