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Personal Expenses Allowance

edited 30 November -1 at 1:00AM in Pensions, Annuities & Retirement Planning
3 replies 564 views
Gee87Gee87 Forumite
4 Posts
MoneySaving Newbie

A friend of mine is retired and now living in a care home, and I've been helping her organise her finances. However, I'm little confused about the Personal Expenses Allowance (PEA) and hoping someone could shed some light!

My friend is now in full-time residential care after not being able to cope at home alone any longer. She doesn't have any cash savings but does own her home, which is currently empty and I presume will be sold and most of the profit going to pay off the care home bill when she passes away. She receives a state pension and a little from a personal pension.

So, my question is, does the local authority have to leave her with a PEA of £24.90 per week? Whilst she does exceed the £23k threshold because of her home, it's not money she can get old of.

Thank you!


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