As of the 8 April 2019 the assets threshold applicable if a financial assessment is to be carried out in relation to the payment of care home fees in Wales has increased from £40,000 to £50,000. This threshold applies to those resident in Wales. A different threshold limit applies in England (this is currently £23,250.00)
This threshold becomes important if you or a loved one is either resident in a Nursing Home or Residential Home or is thinking of moving into such a Home.
Whenever there is a need to move into a Care Home, be that a Residential Home or a Nursing Home, the Local Authority will decide whether the resident has to make a contribution towards the care fees. There is also an ongoing obligation for the Local Authority to assess the financial position, as that financial position may change while the period of residency in a Care Home continues.
The financial assessment looks at the income, capital and savings of the resident. As of April 2019, if savings or capital assets (and this may also include the value of the home that is owned) is more than £50,000 then the Care Home fees would be paid in full.
Clearly, if a financial assessment is carried out, all facets of the resident’s money will be taken into account, along with all regular income.
Many are concerned about the fact that the value of their home will be taken into account when a financial assessment is carried out. This is indeed correct in most cases but certainly not in all. If, for instance, a partner either co-owns the property or lives with the resident within the Care Home, there would not be an insistence on the sale of your home. In any event, the Local Authority will not take the value of a house into account for the first 12 weeks of the period of residence in a Care Home.
In addition, there are other situations where a home may not be sold or the sale deferred. These are if a family member or relatives is/are aged 60 years or over and residing at the property; or a family member or relative who is incapacitated is living at the property; or one of the children of the resident within a Care Home is under the age of 18 and, therefore, dependent upon the resident.
When it becomes necessary for a Care Home environment to be considered, there may be other ways available to make payment of Care Home fees and this is certainly something that we can discuss with you, looking at your own particular circumstances and those who live with you or for whom you are responsible.
In addition, of course, if the level of nursing care is quite particular, you or your loved one may be eligible for NHS continuing care costs to be met by the NHS, thus making a financial assessment of assets unnecessary.
Also, please note, that if you or your loved one is moving into or residing within a Nursing Home (as opposed to a Residential Home) you may find that an element of the nursing care costs are paid for by the Local Authority in any event.
If we can assist further with any queries that you have, please do not hesitate to contact Natalie Harvey on 02920 470909.