Financial assessments

Assets over £23,250 - If you have assets of over £23,250 you will not qualify for any assistance from the Local Authority. You will be classed as a ‘self-funder’.  This means that you will be responsible for funding your own care fees until your capital is below £23,250. You may be still be entitled to certain state benefits. We will be happy to discuss these with you and give advice to ensure you are claiming your correct entitlement.

Capital under £23,250 - Once your capital is below £23,250 you will start to receive partial funding from the Local Authority. The extent of this will depend on the amount of capital you have remaining.

Capital under £14,250 - If your capital then falls below £14,250 the Local Authority will then provide full financial support, but only according to their local budgets. The figure varies from one Local Authority to another, and is usually based on the cheapest available accommodation to provide the level of care required.

Existing benefits - The Local Authority will expect you to use your income and benefits to pay for as much of your care costs as you can. They will then pay the difference between your income and their current funding level.

Short fall in care fees - If your care fees are greater than the Local Authority funding levels, the fees may be topped-up by a third party, such as a family member, or you may have to enter into an agreement with the Care Home.

Gifts of property or assets - When making financial assessments  the Local Authority may still include any ‘recent’ large gifts you have made of property or other assets to a third party.  This comes under their view of ‘deprivation of assets’ and there is no time limit after which any gifts may be excluded.

Local Authority contributions for home-owners

12 week disregard - For the first 12 weeks of a permanent stay in a Care Home, your own home is not included in the Local Authority financial assessment or means test.

Value of capital excluding the value of your home - If, excluding your home, your capital is still above £23,250 then you will still be classed as a ‘self-funder’ and you will be expected to pay for your care fees from your savings. If by excluding your home from your total capital it means that you have capital of less that £23,250, then, assuming your income alone will not cover the cost of care the Local Authority will make a contribution towards your care which will not have to be repaid.

Deferred Payment Scheme - This scheme is offered after the 12 weeks disregard has finished and is available to those whose total capital excluding the home is less than £23,250. If you have less than £23,250 excluding your home, then a loan may be made to you. The loan would be equal to the difference between the cost of your care fees and the amount you would have had to contribute from your income if you did not own your own home.  A charge to cover the amount of the loan will be placed against your home and this will need to be repaid in full once your home is sold or within 56 days of death. No interest is due until the time that the loan has to be repaid.

NHS responsibility for funding - Continuing Care Funding
This funding is available through your local Health Authority and is called Continuing Care Funding. The criteria for claiming are laid down by the Department of Health, and generally depend on the severity of the individual’s physical medical conditions.

There are many different criteria to qualify for funding. This should be discussed with the Local Health Authority. However, as a guide, the more unpredictable, complex and rapidly deteriorating the nature of a person’s illness,  the more likely it is that this type of funding will be available.

If you are accepted for funding, then the Health Authority have to provide you with the care that you need.  Their funding levels will be based on a person’s care needs rather than their accommodation preferences, and therefore may not fully fund the total care fees of an individual.  However, you are able to top up the health authority contribution to meet the fees charged by the Care Home of your choice.

If you have any questions, or to discuss your circumstances in complete confidence without obligation or cost, please call us on 0845 077 5655 or email us

For more details on NHS Continuing Care please click here.

 

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