Funding Your Care
How can live-in care be funded?
Many families are surprised to learn that there are several ways to fund live-in care in the United Kingdom. Depending on your circumstances, financial support may be available through your local authority, the NHS, government benefits, or personal funding arrangements.
1. Self-Funding
Many people pay for live-in care privately using:
- Savings and investments
- Pension income
- Property income
- Family contributions
- Equity release arrangements
You are generally considered a self-funder if your assets exceed the financial threshold set by your local authority.
2. Local Authority Funding
Your local council may contribute towards the cost of your care following:
- A Care Needs Assessment
- A Financial Assessment (Means Test)
You may qualify for support if your income and assets fall below the funding threshold established by your local authority. The council will determine the level of care required, your financial contribution, and whether they will contribute to your care package.
3. NHS Continuing Healthcare (CHC)
NHS Continuing Healthcare is a package of care that is fully funded by the NHS for individuals with significant and ongoing health needs. You may qualify if you have:
- Complex medical conditions
- Severe physical disabilities
- Advanced dementia
- Neurological conditions
- End-of-life care needs
Eligibility is based on the nature, intensity, complexity, and unpredictability of your healthcare needs rather than your financial circumstances.
4. NHS-funded Nursing Care (FNC)
Individuals living in nursing homes who require nursing care but do not qualify for NHS Continuing Healthcare may receive a contribution from the NHS towards nursing costs.
5. Attendance Allowance
Attendance Allowance is a non-means-tested benefit available to people who:
- Are over State Pension age
- Have a physical disability, mental disability, or health condition
- Need help with personal care or supervision
The benefit can help contribute towards the cost of live-in care.
6. Personal Independence Payment (PIP)
PIP is designed for people under State Pension age who have:
- Long-term health conditions or disabilities
- Difficulties with daily living or mobility
PIP is not means-tested and may be used to help fund care services.
7. Disability Living Allowance (DLA)
DLA may continue for individuals who currently receive it and can contribute towards care costs.
8. Carer’s Allowance
Family members providing care may be eligible for Carer’s Allowance if they:
- Spend at least 35 hours each week caring for someone
- Meet the earnings and eligibility requirements
9. Direct Payments and Personal Budgets
Your local authority may provide funding directly to you through:
- Direct Payments
- Personal Budgets
This allows you to arrange your own care and choose your preferred care provider.
10. Immediate Needs Annuities
Some families choose to purchase an immediate care annuity, providing a guaranteed income specifically for long-term care costs.
Our Funding Advice Service
Understanding care funding can be overwhelming. Our team is here to guide you through the options available and help you understand which forms of support you may be entitled to receive.
Need help understanding your options?
Speak to our team about funding your live-in care.