Funding Care in Old Age
Meeting the cost of residential and nursing care in old age is a growing issue for many people in the UK. As life expectancy continues to lengthen, more of us can expect to require some form of long term care.
Whether you are a relative or someone who needs to plan for their own care, the costs involved can be daunting. The cost of residential care in the UK is now estimated at £24,128 a year. If nursing is also required, this can rise to over £34,500 a year.1
While the state can help with some costs, eligibility for help is limited and many people find themselves over the threshold so it is important to be aware of what help is available to you and how you could potentially fund your own care if required. Currently only 55% of people who are in residential care receive any funding at all from their local authority.2
It can be tempting simply to try and pay for it out of savings and pension income. But, given the high costs, savings could be quickly wiped out. It is therefore advisable to look for solutions that can generate income indefinitely without eroding capital straight away.
We have produced an impartial guide ‘Funding Care in Old Age’ which provides useful information about your options and how to get further advice. Download it here or email us to request a copy.
1,2 Laing and Buisson, Care of Elderly People, 2008
