state support for live-in care

bobthebleeper

My mum has been eating  through her savings to pay for a live-in carer but those savings are approaching (decreasingtowards)  the £23k means-tested threshold and we will apply to the council for funding. As the care costs >£1200 per week the amount that the council will pay will fall far short of that and so she would have to top this up via equity release on her home. Our financial advisor has recommended a drawdown type which is basically a guaranteed loan facility where you withdraw money as you need it rather than all in one lump.

So far we've been unable to find the answer to the following important question, which is whether the money she gets from the scheme affects the means-tested benefits. This would be unfair (or at least we think so) but that doesn't mean it wouldn't happen. Unfortunately the council tell us to ask our financial advisor who says that it depends on the council...I *think* we could withdraw in sufficiently small chunks to keep the amount of money she has at any one time below the means threshold,

Does anyone have experience of doing this?

Marcon

bobthebleeper said:

My mum has been eating  through her savings to pay for a live-in carer but those savings are approaching (decreasingtowards)  the £23k means-tested threshold and we will apply to the council for funding. As the care costs >£1200 per week the amount that the council will pay will fall far short of that and so she would have to top this up via equity release on her home. Our financial advisor has recommended a drawdown type which is basically a guaranteed loan facility where you withdraw money as you need it rather than all in one lump.

So far we've been unable to find the answer to the following important question, which is whether the money she gets from the scheme affects the means-tested benefits. This would be unfair (or at least we think so) but that doesn't mean it wouldn't happen. Unfortunately the council tell us to ask our financial advisor who says that it depends on the council...I *think* we could withdraw in sufficiently small chunks to keep the amount of money she has at any one time below the means threshold,

Does anyone have experience of doing this?

Great; that's really helpful (not). Maybe suggest to your financial adviser and the council that they speak directly/confirm your consent for them to do so  - or ask for a 3-way Zoom/conference call?

xylophone

See https://www.ageuk.org.uk/globalassets/age-uk/documents/factsheets/large-print-factsheets/fs65-lp-equity-release2.pdf

See Page 12/13 of above

https://www.ageuk.org.uk/globalassets/age-uk/documents/factsheets/fs46_paying_for_care_and_support_at_home_fcs.pdf

Re Immediate Needs Care Annuity

https://www.helpinghandshomecare.co.uk/costs-funding/funding-options/immediate-needs-annuity/

https://www.justadviser.com/products/care-funding/an-overview/

https://connect.avivab2b.co.uk/adviser/retirement/lifetime-care/immediate-lifetime-care/

Keep_pedalling

To pay for a live in career from savings suggest she originally had significant saving and therefore would not have qualified for any means tested benefits, so what benefits is she currently receiving? 

LHW99

And make sure she has applied for / receives attendance allowance which is not means tested.

xylophone

attendance allowance

https://www.ageuk.org.uk/globalassets/age-uk/documents/factsheets/fs34_attendance_allowance_fcs.pdf

[Deleted User]

I would check the legality of the council stating what maximum they are prepared to pay.  Once a person has no savings/assets above £23k they are fully the responsibility of their local authority who despite what they say about "the max we pay" are legally obliged to fund the full package of care as laid out in th care plan.  (I think a contribution is made out of th £23k left per month but when that has reduced to £14k then no further funding is taking from care recipient.

So if one lives in Town ABC, for eg, a care home-with-nursing that can deliver the required package of care within a 10 mile distance is the requirement that the local authority are obliged to deliver.

However local authorities, to avoid paying above their preferred maximum, start to target relatives for top ups ie to make upp the difference - totally illegal.  Top ups can be made if the care receiver wishes to be placed in a more expensive home than one that is delivering the care package requirement ie it has crystal chandeliers and his/her relatives are able/prepared to pay the  difference.

Top Ups are most definitely not to be used to extract money from relatives because the local authority does not want to pay what it is legally obliged to.

https://www.localgovernmentlawyer.co.uk/adult-social-care/391-adult-care-news/50436-ombudsman-investigation-sees-council-agree-to-repay-five-years-of-care-fee-top-ups-after-it-failed-to-offer-affordable-alternative-placement-first

https://www.localgovernmentlawyer.co.uk/adult-social-care/391-adult-care-news/51958-city-council-to-refund-11-years-of-care-home-top-up-fees-to-family-following-ombudsman-investigation

https://www.hughjames.com/blog/what-are-nursing-care-top-up-fees

Keep_pedalling

[Deleted User] said:

I would check the legality of the council stating what maximum they are prepared to pay.  Once a person has no savings/assets above £23k they are fully the responsibility of their local authority who despite what they say about "the max we pay" are legally obliged to fund the full package of care as laid out in th care plan.  (I think a contribution is made out of th £23k left per month but when that has reduced to £14k then no further funding is taking from care recipient.

So if one lives in Town ABC, for eg, a care home-with-nursing that can deliver the required package of care within a 10 mile distance is the requirement that the local authority are obliged to deliver.

However local authorities, to avoid paying above their preferred maximum, start to target relatives for top ups ie to make upp the difference - totally illegal.  Top ups can be made if the care receiver wishes to be placed in a more expensive home than one that is delivering the care package requirement ie it has crystal chandeliers and his/her relatives are able/prepared to pay the  difference.

Top Ups are most definitely not to be used to extract money from relatives because the local authority does not want to pay what it is legally obliged to.

https://www.localgovernmentlawyer.co.uk/adult-social-care/391-adult-care-news/50436-ombudsman-investigation-sees-council-agree-to-repay-five-years-of-care-fee-top-ups-after-it-failed-to-offer-affordable-alternative-placement-first

https://www.localgovernmentlawyer.co.uk/adult-social-care/391-adult-care-news/51958-city-council-to-refund-11-years-of-care-home-top-up-fees-to-family-following-ombudsman-investigation

https://www.hughjames.com/blog/what-are-nursing-care-top-up-fees

The OPs mother is currently paying for live in carers and is looking to maintain this arrangement which the LA is certainly under no obligation to fund. If she moves into residential care then her house will no longer be disregarded so she would have to fully fund her care in somewhere she would probably rather not be. 

The only way she can possible stay in her home with a live in career Is to somehow release a large chunk of equity from her home.