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Cost of Care in a care home

Information about how costs are calculated and how much you might need to contribute.

Cost of Care

Nearly everyone has to pay a contribution towards the cost of the care that they receive, and this contribution will depend on the individual's personal circumstances. Some people may qualify for financial help with the cost of their care from social services, while others may pay for their care from savings and income.

The law says that people with more than £23,250 in capital have to pay in full for the accommodation and personal care they receive in a care home. However, paying the full cost of care home fees can mean that your capital may reduce very quickly. You need to work out how long it will take before your capital reduces to £23,250. Contact Peterborough City Council well before this happens.

It is always advisable to contact Peterborough City Council if you are considering moving into a care home. If you think that you may need financial help from the Council at a later date when your savings and capital run low it is important to contact us before you move into a home to get advice and an assessment of the kind of care you need. The Council can only pay towards the cost of the care they assess someone as needing, and that rate will usually only cover a basic room. For example, if you had already been paying for a more expensive room, and wanted to stay in that room, the difference would have to be met from other sources.

It is generally the case that homes that offer nursing care usually cost more than those who provide only residential care.

If you arrange a care home placement without this help or advice, and later ask for help with your fees, we would have to assess your need for care against the Council's Adult Social Care eligibility criteria. If we assess that you do not need residential or nursing care you may not be able to receive financial help. It is always advisable to take independent financial advice to ensure that you will be able to afford the care you choose.

In order to receive financial help from Peterborough City Council, you must meet the eligibility criteria and have less than £23,250 capital. This figure includes the value of your home (unless your partner is still living there). The value of your home is usually disregarded for the first 12 weeks of your stay in a residential home.

If you receive financial help from Peterborough City Council you will still need to make an assessed contribution towards the cost of your care. You will not be left with less than £23.90 per week to cover your personal expenses. If you would like more detailed information please refer to the Adult Social Care Charging Policy on this website.

Choosing a care home

When choosing a care home, individuals have the right to be accommodated in a home of their choice, providing the following apply:

  • The accommodation is suitable to your needs
  • To do so would not cost Peterborough City Council more than it would usually expect to pay for someone with your needs
  • There is a place available at the home of your choice.

If the accommodation is more expensive than Peterborough City Council would normally fund, it must still be arranged providing that there is a third party willing to pay the difference (known as a top-up). The third party in this case might be a relative, a friend, a charity or any other source – it cannot be the person going into the home.

Financial Assessments

Peterborough City Council carries out a financial assessment to determine how much you have to pay towards the care fees and to help you claim any welfare benefits you may be entitled to. You will then be informed how much you will have to contribute.

Disposal of any capital assets to avoid or reduce the amount you pay may result in the assessment being made as if you still have those assets.

Each April there will be a financial reassessment of the fee you have to pay.

Funded Nursing Care (FNC) sometimes known as Free Nursing Care

The weekly cost of a placement in a care home includes costs for accommodation, food, personal care, and if the placement is in a Nursing Home it will include an amount for nursing tasks. Funded Nursing Care means that people who are living in a care home with nursing get the nursing element of their care paid for them by the NHS.

An assessment by a nurse will determine if you qualify for free nursing care; and the NHS then pays the care home directly. Privately funded people getting ‘Funded Nursing Care’ still pay for the rest of their care, including personal care, accommodation and food.

The document below appears in Adobe® Acrobat® (PDF) format. In order to view it you will need to have Acrobat Reader installed. (Those with visual impairments may wish to investigate Access Adobe, which provides tools and information to help make PDF files more accessible). 

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PDF file icon  Adult Social Care Charging Policy - April 2013
  (309KB, 23 pages)