Information for self-funders (capital assets above limit)

On this page:

Free help from adult care services

Information and advice about care and support services, and support planning

Help to access independent financial information and advice about care funding

You may be able to get:

• minor adaptations to your home and small items of equipment which cost up to £1,000 each to maintain safety and independence at home. Equipment must be returned. See our equipment to stay independent page.
• a short period of intensive therapies and support from the Reablement Service to help rebuild strength, mobility, and confidence to regain independence following an illness or injury.
• mental health aftercare (under section 117 of the Mental Health Act 1983), care and support in the community after leaving a psychiatric hospital if you were sectioned (compulsorily detained) in hospital for treatment.
• a social care assessment to identify your care and support needs

Services provided directly by the council such as training to self-manage a health condition, helping you to access social and leisure activities.

Help towards care costs from the NHS

If you have long-term complex health care needs from a serious disability or illness you may qualify for free health and social care arranged and funded solely by the NHS. This is known as NHS continuing healthcare.

If you live in a nursing home, you may be able to get NHS-funded nursing care (paid directly to your care home, reducing the care fees you pay).

Help towards care costs from welfare benefits

Attendance Allowance can be claimed if you are over state pension age and have a long-term illness or disability severe enough for you to need help from someone else to help you care for yourself, or to supervise you to keep you safe day or night. You can claim Attendance Allowance even if you don’t have anyone helping you care for yourself. Attendance Allowance is tax-free, and is not affected by your income or savings.

Personal Independence Payment (PIP) can be claimed if you are under state pension age and need help from another person to care for yourself due to a long-term illness or disability, or/and you have difficulty walking or getting around, because of a long-term illness or disability. You can claim PIP even if you don’t have anyone helping you care for yourself. PIP is tax-free, and is not affected by your income or savings.

Pension Credit can be claimed if you are over state pension age and on a low income. There is no upper limit to the level of savings/investments to qualify for Pension Credit. If you receive Attendance Allowance (or a similar disability benefit) you may be entitled to a higher amount of Pension Credit. Use the Pension Credit calculator to find out if you qualify and how to claim.

If you qualify for Pension Credit you may be entitled to other assistance such as Housing Benefit and Council Tax Support.

Council Tax discounts or exemptions can be claimed for the severely mentally impaired or a discount on Council Tax band if your home is larger because of space needed to meet your disability requirements.

Help to arrange care and support at home and in the community

You can get information on types of care and support and find care and support providers through Reading Services Guide. The council’s Adult Care Services can give you information and advice to help you arrange your care and support privately. You can also get information and advice from independent organisations like Age UK.

Alternatively, you can ask Adult Care Services to manage your care and support arrangements on your behalf.  We will ask you to agree, in writing, to pay the full cost of your care and support plus arrangement fees.

Things to consider when choosing a care home

Adult Social Care services offer free information and advice to discuss your needs. They can help you find suitable care homes or other care and support available to you. You can also get information and advice from independent organisations like Age UK.

Reading Services Guide has a directory of local care homes that can be filtered by different criteria to find the most suitable care home for you.

Funding your care home fees

If your savings and investments (not including your home) are above £23,250 you must pay your care home provider directly.

You may be able to be entitled to some benefits while you are self-funding your care.

If there is a possibility your capital could reduce to a level that you may need council help with funding care home fees in future, check the care home you are considering would contract with the relevant council (the council that provides adult care services in the area the care home is).

If the relevant council are not prepared to pay the care home contracted rate you may have to move to another care home. Alternatively, you may need to arrange a third-party such as a family member, friend or charity, who is willing and able to pay the difference. See our choice of accommodation and additional payments policy.

Using equity in your property to pay care home fees

Deferred Payment Agreements

If most of your capital is tied up in your property (and your partner doesn’t still live there), you may be eligible to apply for a Deferred Payment Agreement (DPA) through the council.

A Deferred Payment Agreement is like a loan where the council pays your care home fees – which are paid back to the council (with interest) when the property is sold. This allows you to delay selling your property, either until you arrange your property sale or throughout your lifetime.

This type of agreement is one type of care home funding arrangement and you should always seek independent financial advice before making decisions about how to fund your long-term care.

Interim funding arrangements

You can ask for an interim funding arrangement to be put in place by the council if you cannot yet apply for a Deferred Payment Agreement. This could be because:

• you are applying to become the legal financial representative of someone who cannot enter into a Deferred Payment Agreement because they have lost the mental capacity to manage their money or make financial decisions
• you need your property title deeds updated with Land Registry before you can use your property as security for a Deferred payment Agreement

The interim funding must be repaid (with interest) as soon as you are granted the legal authority to access the funds of the person you act for unless you immediately enter into a Deferred Payment Agreement.

Always seek independent financial advice before making decisions about how to fund long-term care.

What happens when my capital drops to the Upper Capital Limit (wealth depletion)?

You may become eligible for financial support from the local council when your capital reduces to £23,250, the Upper Capital Limit.

How much financial help you get depends on the outcome of:

• a financial assessment to determine the most you could afford to pay each week towards your care and support
• a care assessment to identify your care and support needs and the cost of meeting your unmet eligible needs.

Contact Adult Social Care services between three and six months before your savings and capital approaches the £23,250 limit to request a care needs assessment. You can contact Adult Care Services on 0118 937 3747 or CSAAdvice.Signposting@reading.gov.uk.

If you no longer live in Reading Borough Council area, for example you have moved to a care home in another area, contact the local council for your area who is responsible for meeting adult social care needs.

Independent information and advice on paying for long-term care

Before you make decisions about how to fund your long term care it is important you get clear information and unbiased advice about your financial options.

Some independent financial information and advice is available free.

Specialist independent financial advisers often charge for their time, but provide detailed knowledge and advice tailored to your situation about your options on paying for long-term care.

Finding independent financial information and advice

Planning ahead for when you can’t manage your money

It is important to plan and put legal arrangements in place for the future to manage your money, even if you are currently capable and well.

This could be a Lasting Power of Attorney which would nominate someone you trust to make decisions about your finances, property and manage your day-to-day financial affairs.

Supporting someone with their finances.