Fax: 0121 552 8112
Email: mail@wellbeingresidential.co.uk
Paying for Care
Many people think that care homes in the independent sector are only for the wealthy. You may be surprised to know that the majority of care homes in the UK are owned by the independent sector, and that 70 per cent of residents have their fees paid partly or wholly by their local authority.
If you are paying all the fees yourself, you can choose whichever home you find suitable for your needs in your price range. If your local authority is assisting with funding, it doesn't mean you have to choose one of their homes. You can request any home that accepts residents funded by the local authority. However, the local authority will want to be sure that the home is suitable for your needs and doesn't cost more than it would usually pay for that type of care. If you want a more expensive home than the authority is willing to pay for, you are allowed to 'top up' their contribution from another source.
Understanding the different care home charges
There are three different elements included in Care Home charges:
• Nursing care provided by a Qualified Nurse
• Personal care, such as help with bathing, dressing, eating and mobility, provided by a Carer
• Accommodation including meals, laundry and housekeeping, heating, lighting and other living costs.
Residents in care homes are entitled to some financial support but this varies between countries in the UK. Depending on your financial status, you will have to pay at least some, or all of the costs of accommodation and personal care in a care home. To understand what your own financial status might mean, use the Care Aware Funding Flow Chart
Who is involved?
The National Health Service
Over the last ten years, the role of the NHS in providing long term care for older people has declined significantly with the closure of many long stay geriatric wards and the redirection of resources to reduce waiting lists and fund ever more sophisticated and expensive treatment. Once the medical input to a patient's needs has been completed the NHS's responsibility passes to the local authority. In cases where there is an ongoing need for nursing input but which can be provided in a setting other than hospital, the NHS will continue to offer some funding support through the Registered Nursing Care Contribution (or RNCC).
Local Authority Social Services
As a result of the National Health and Community Care Act, primary responsibility for care provision now rests with the Social Services department of the local authority. They are required to provide an assessment of need to determine the most appropriate care package for an individual and also to undertake the financial means testing in accordance with CRAG, (Charging for Residential Accommodation Guidelines). Whilst some local authorities continue to own and operate their own care homes, this practice has tended to decline over recent years.
The Department for Work and Pensions
The DWP was formerly known as the Benefits Agency and its main role is to administer the benefits system including Pension Credit and Attendance Allowance.
Who will pay for what?
Depending on your financial situation, your Local Authority may pay some of the costs of your care. This is dependent on a means test of your savings and assets which includes any income from your pension, benefits etc and possibly your home if you live alone or if you are both moving into a care home.
If your level of savings and assets are over the following amount you will have to pay the full costs of your accommodation and personal care: England £23,000, Scotland £20,750, Wales £22,000.
If your level of savings and assets are below the following amount your local authority may pay the full costs of your accommodation and personal care: England £13,000, Scotland £12,500, Wales £17,250.
If your level of savings and assets fall between the above amounts, your Local Authority may pay some but not all of the costs of your accommodation and personal care.
What benefits am I entitled to?
If you are paying for your care yourself, you may be entitled to the following benefits:
Attendance Allowance
This is a non means tested benefit payable irrespective of capital or income to those needing help with basic tasks. It has two levels, a lower or daytime rate and a night time or higher rate.
Lower Rate: £43.15 per week
Higher Rate: £64.50 per week
Pension Credit
This is the restructured alternative to Income Support and offers two basic types of benefit, one which is designed to ensure a minimum guaranteed income and the other which to a degree is designed to assist those who have savings or additional private income.
Continuing Care Benefit
Total funding for care for those with an acute care need.
Registered Nursing Care Contribution (RNCC)
A non means tested payment specifically for those with a nursing care need and banded to reflect the degree of nursing input required.
Understanding care home fees and contracts
Every Care Home has an obligation to provide you with a written contract along with a written statement of their terms and conditions covering your stay. The terms and conditions should cover the following areas:
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The fee and what it covers
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What services are charged for
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The amount of deposit required
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The amount of notice required before leaving
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Any charges made after the resident's death
Where can I get further help?
The financial contributions you are entitled to depend on your individual circumstances so it is important to seek advice. The following organisations may be able to give you specialist advice:
• Your Social Services department at your local Council
• The Department for Work and Pensions
• Age Concern
• Help the Aged
• Care Aware
There are also various financial planning schemes for long-term care that can help you pay for care home fees. These generally consist of paying one large sum when you move into a care home and should provide a fixed payment for as long as you need care. We recommend contacting an independent financial adviser who specialises in care fees planning.
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Wellbeing Residential Group
60 Percy Business Park
Rounds Green Road
Oldbury
Birmingham
B69 2RE
T: 0121 552 8111
F: 0121 552 8112
mail@wellbeingresidential.co.uk
