Funding for Nursing Homes: Understanding Your Options

Funding for Nursing Homes: Understanding Your Options

 In Blog, Funding Advice, Nursing Care

As the cost of care continues to rise, understanding the various funding options for nursing homes is crucial for families and individuals planning for long-term care. At Lidder Care, we’re committed to providing not only exceptional care services but also valuable information to help you navigate the difficulties of care funding. Below, we’ll cover the different avenues available for funding nursing home care in the UK, including recent updates for 2024.

Recent Updates: Increased NHS Funding for Nursing in Care Homes

In March 2024, the Department of Health and Social Care announced an increase in NHS-funded nursing care rates for the 2024-2025 financial year. This increase is good news for care home residents with nursing needs and the care homes that support them.

Key points of the update include:

  • The standard weekly rate per person for NHS-funded nursing care will increase by 7.4% from £219.71 to £235.88, effective from 1 April 2024.
  • For those on the higher rate, it will increase from £302.25 to £324.50.
  • The NHS pays this funding directly to care homes providing nursing care.

This increase helps cover the costs of nursing care provided by registered nurses in care homes, supporting residents with various needs, including those with learning disabilities, enduring physical or mental health needs, and conditions associated with old age.

For details on this update, you can visit the official government announcement.

Understanding Nursing Home Funding Options

Navigating the world of nursing home funding can be complex, but understanding your options is crucial for making informed decisions. Let’s explore the main avenues for funding nursing home care:

1. Self-Funding

If your assets exceed the local authority threshold, you may need to self-fund your care. Options for self-funding include:

  • Using savings and investments
  • Selling or renting out property
  • Equity release schemes
  • Care fee annuities

It’s advisable to seek independent financial advice when considering these options.

2. Local Authority Funding

If your assets fall below the threshold set by your local authority (currently £23,250 in England), you may be eligible for financial support from your local council. Here’s what you need to know:

  • The local authority will conduct a care needs assessment and a financial assessment to determine your eligibility.
  • If you qualify, the council may pay for some or all of your care costs.
  • Even if you’re eligible for support, you may still need to contribute from your income.

For more information on local authority funding, visit the NHS guide on social care and support.

3. NHS Continuing Healthcare

For individuals with primary health needs, NHS Continuing Healthcare (CHC) provides fully funded care, covering all care home fees. To be eligible:

  • Your needs must be assessed as primarily health-related rather than social care needs.
  • The assessment process involves a screening and a full assessment by a multidisciplinary team.

If you believe you or your loved one might be eligible for CHC, you can learn more from the NHS Continuing Healthcare webpage.

4. NHS-funded Nursing Care

As mentioned in the recent update, if you’re not eligible for full CHC but require nursing care in a care home, you may qualify for NHS-funded Nursing Care. This is a contribution towards the cost of your nursing care, paid directly to the care home.

5. Deferred Payment Agreements

If most of your assets are tied up in your property, you may be eligible for a deferred payment agreement with your local authority. This allows you to defer paying for your care until you choose to sell your home or after your death.

For more information on deferred payments, check the Age UK guide on deferred payment agreements.

6. Benefits and Allowances

Even if you’re self-funding, you may be eligible for certain benefits that can help with care costs:

  • Attendance Allowance
  • Personal Independence Payment (PIP)
  • Pension Credit

You can check your eligibility for these benefits using the government’s benefits calculator.

Lidder Care: Supporting You Every Step of the Way

At Lidder Care, we understand that choosing and funding care can be overwhelming. That’s why we offer a range of services to suit different needs and budgets:

  • Home Care Services: For those who prefer to receive care in the comfort of their own home, our professional carers provide personalised support tailored to your needs.
  • Care and Nursing Homes: Our homes offer 24/7 care from qualified nurses and caregivers, ensuring that residents receive the highest standard of care in a comfortable, homely environment.
  • Respite Care: Short-term care options for those who need temporary support or for family carers who need a break.

We’re committed to providing transparent information about our fees and can guide you through the process of accessing funding support. Our team can help you understand which funding options might be available to you and assist in liaising with local authorities or the NHS where appropriate.

Planning Ahead: The Importance of Early Consideration

It’s never too early to plan for potential future care needs. By considering your options early, you can:

  • Make informed decisions about your care preferences
  • Explore ways to protect your assets
  • Understand the various funding options available
  • Put in place necessary legal documents, such as Lasting Power of Attorney

We recommend speaking with a financial advisor who specialises in later life planning to help you make the best decisions for your circumstances.

Get in Touch with Lidder Care

Navigating care funding can be complex, but you don’t have to do it alone. At Lidder Care, we’re here to support you through every step of your care journey. Whether you’re exploring options for yourself or a loved one, our experienced team can provide guidance and information to help you make informed decisions.

To discuss your care needs or to learn more about our services and how we can support you with funding options, please don’t hesitate to get in touch, or call us on 0330 223 6600

Remember, every individual’s situation is unique, and what works for one person may not be the best option for another. We’re here to help you find the right solution for your specific needs and circumstances.