Long-term care considerations

Long-term care in the UK refers to the provision of ongoing care and support for individuals who are unable to care for themselves due to old age, illness, or disability. Long-term care can be provided in various settings, including nursing homes, residential care homes, and home care services.

In the UK, long-term care is mainly provided by local authorities and private sector organizations. The eligibility for long-term care is determined by the individual's care needs and financial means. The means test takes into account the individual's income, savings, and assets. If the individual's means are above a certain threshold, they will be expected to pay for their own care.

The current thresholds in Northern Ireland are £14,250 and £23,250. If an individual is assessed to have income and assets less than £14,250 per year then the government will fully fund their care. Income and assets between £14,250 and £23,250 mean the individual must partially fund care and at over £23,250 we get into the fully self funding environment.

The UK government has made efforts to reform the long-term care system to make it more sustainable and accessible. In 2021, the government announced plans to introduce a cap on social care costs, which will limit the amount that individuals have to pay for their care over their lifetime. The cap is set at £86,000 and is expected to come into effect in October 2023. This is however for England only and NI will continue with the current funding guidelines at this time.

There are also various support services available to individuals and their families who require long-term care, including advocacy services, information and advice services, and respite care services.

Overall, long-term care in the UK can be a complex and expensive system to navigate, but there are resources and support available to help individuals and their families make informed decisions about their care.

There are also several options available to help protect one’s assets from the impact of long-term care costs. It is however a highly complex area requiring precise planning to ensure you are not falling foul of the deliberate deprivation rules.

If you feel that you or any of your clients would benefit from further discussions on this, please contact us below. 

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