Spending on social care of older people is set to be slashed by more than 8% this year and could accelerate the collapse of a crumbling system, Age UK has said.
The charity found many local authorities were cutting the number of placements available in care homes or the rates paid to reduce costs.
Age UK made freedom of information requests to each English council with responsibility for adult social services, to reveal their planned expenditure on older people's social care for the current financial year (2011/12).
Responses were received from 139 out of a total 152 councils and the charity combined these with the estimated addition of the NHS contribution to local authorities.
It's chief finding was that net expenditure on older people's social care is falling by 8.4% (£610m) in 2011-12.
And although local authorities in England are striving to protect front line services, at least 25 councils are making savings by reducing the number of placements in care homes available.
Meanwhile 76 councils have either frozen or decreased the rates they pay for residential homes for older people, leaving older people and their families who pay "top-up fees" to absorb any price increases.
"There are 2.9 million people over the age of 65 living in England who currently need care," it said.
"With the care system currently under strain only 1.148 million of them are receiving support from their council.
"This fall in spending is likely to limit the public provision of care even further, with fewer individuals being offered care, and those who do receive support likely to see it reduced," it added.
It also found that:
• Net annual expenditure per person over the age of 65 is falling to £791 continuing a downward trend from £864 in 2010-2011 and £872 in 2009-10,
• Planned net expenditure by local authorities per individual older person who needs care, has been slashed to £2335, continuing the downward trend from £2548 in 2010-11 and £2573 in 2009/10.
• At least 61 councils were making savings by increasing or making new charges on social care provision such as home help or day care centres, which are paid for by the older person using the services,
• At least 27 councils are making savings by reducing personal budgets or domiciliary care packages, meaning that those who receive support will receive fewer hours of help.
Michelle Mitchell, charity director for Age UK, said: 'Funding for social care is already inadequate and the system today is failing many older people at the time when they really need help.
"The consequences of cutting expenditure further by 8.4% could be devastating. We are fearful that even more vulnerable older people will be left to struggle alone and in some cases lives will be put at risk.
"We anticipate these cuts will condemn many more older people to a miserable existence behind closed doors struggling to keep safe and well," she added.
Age UK called for the government to add £3bn of spending to support services for vulnerable older people, suggesting 800,000 people who need social care receive no state or private sector support.
The Dilnot Commission into the funding of long-term care is expected on 4 July.
