The two-year delay in bringing in the much-awaited £86,000 cap on care costs has left people concerned about their later life planning.
In the November Autumn Statement, Chancellor Jeremy Hunt, announced that the proposed cap of £86,000 on the amount an individual could be charged for their social care, would be postponed for two years, with some commentators expressing fears that the care costs cap may be abandoned altogether.
Helen Jago, a Director with Palmers who specialises in Older Client legal matters explains why the proposed care cap is such a hot topic:
“Many relatives are concerned that their parents’ hard-earned money built up during a lifetime, could be used up in a few years of them needing care if the proposed care cap is not introduced”.
“Even when/if the cap is brought in, it is not necessarily the solution that many people expect. For example, the cap is not intended to apply retrospectively. This means that care costs built up prior to the cap being introduced will not count towards the cap”.
“In addition, not all costs are included in the cap. Certain costs above the person’s assessed ‘eligible needs’ costs will not count towards the cap. For example, top-up payments made out of choice towards a person’s preferred choice of more expensive accommodation will not count towards the cap”.
At Palmers, we have produced a guide on ‘Paying for Care’ which is available to download for FREE here. [link – web team include direct link to paying for care guide] This addresses the current position whilst we wait for the cap to be introduced.
If you are concerned about a relative’s care costs or wish to plan ahead and want to find out more, please get in touch with our Older Client legal team for help and advice.