Age Concern executive director Claudette Fleming is calling for Government to bring in income tax to fund soaring demand for care for seniors.

Census figures from 2000 show Bermuda's elderly population rose by 25 percent in the previous decade and now form 11 percent of the population.

Ms Fleming said that proportion would rise to 13 percent in the next ten years.

But Ms Fleming feared there weren't enough funds to help pay for elderly care.

She said: “I know the Health Minister is talking about zero based budgeting.”

Social services were very expensive for the Government to provide, said Ms. Fleming. She said: “We need a tax structure to support our growing social services. We need some type of solid revenue.”

She said there were now 6,700 seniors in the population and the number was expanding.

“I see so many in poverty. From a policy point of view we need to look at how the money can be redirected to this very significant part of the population.

“There should be some type of progressive tax system with minimum focus on the working class and the maximum focus on the disposable income for those who can afford to give more.

“If we don't do this it will be exactly what we have now - chaos.” She said Government needed to account for the dollars already being spent to ensure they were going as far as they could.

She said: “We have to ensure they are based on solid information and we are meeting the needs who need the services most.”

Referring to the St. George's Rest Home which has been shut for three years for renovations she said: “Is there an established need for rest homes or is there more of a need for nursing homes?

Health Minister Nelson Bascome said plans for a revamped St. George's Rest home, which closed in 2000, had been drawn up and presented to the parish council. The home is set to reopen in 2004 offering four levels of care right the way from independent living to rest home care, nursing home care and care for those with dementia.

He denied there was a crisis in care for the elderly because of the closures. “Right now we have empty beds.”

The Minister said the Sandys Parish Rest Home, which closed in August 2001, would also reopen as a respite home to take care of seniors when their families were travelling.

Ms Fleming also called for subsidised housing and medicine for seniors so they could stay healthy and independent rather than succumbing to illness and end up having to get costly full-time care.

She said hospital wards were full of old people.

“This is what's happening in the community. We are not addressing needs early enough.

“For long term care coverage by medical insurance doesn't exist here. In Canada and the UK it's subsidised by the Government.”

She said in the US cover for nursing home care was the largest growing sector for the insurance industry. “We should look at this.”

There was a limit to how much the employer could be expected to pay for, said Ms Fleming.

“We are now talking about unemployment insurance, there are pensions and pay roll tax.

“What else can the employer afford to take on? I don't think they can afford to take on much more.”

She said Age Concern was working on a national plan for funding seniors and she hoped Government was doing the same.

“There are so many facets and challenges. If you are not in the know you are going to be blindsided with another problem you don't anticipate.”

She said Age Concern was talking to Government about rising prescription costs which for some hard-up seniors could hit $700.

Young people were urged to think about their future and save rather than reach retirement and find themselves in deep financial trouble, said Ms Fleming.

Recently insurers said health premiums were due for a large rise while on Friday the Bermuda Hospitals Board also said they had to charge more for services.

Health Minister Nelson Bascome said Government was looking at the problem of funding health care but there were no plans to bring in income tax.

He said there were four committees working on recommendations from the Arthur Andersen report, including one on pharmaceuticals, one on the elderly and one on reimbursement.

He said the seniors one-stop shop in Victoria Street could advise on cheap generic drugs to replace expensive brand names.

A health council consisting of major players would be up and running in a few months, said Mr. Bascome.

He said: “People say nothing is happening but all these things are going on.”