If someone has care needs, and requires financial support, the Local Authority will carry out a financial assessment. This applies to care at home or in a residential care home.

These financial assessments can be complex. The Local Authority often do not have the time or resources to explain matters fully to service users or family members. It is unfortunately common for mistakes to be made. Individuals can end up overpaying for their care or being misadvised about their options.

Financial assessment

The financial assessment will look at a person’s capital, which will include money in bank accounts, savings, investments and property.

If a property is occupied by another person, then it may be exempt from the financial assessment. This is the case when it is occupied by:

  • A spouse, partner, former partner, or civil partner (except where you are estranged)
  • A lone parent who is your estranged or divorced partner
  • A relative who is:
    • aged 60 or over, or
    • a child of yours aged under 18, or
    • ‘incapacitated’

The Local Authority have the discretion to disregard the property in other circumstances. They can often be persuaded to do so if it would be unreasonable to decide otherwise.

Deprivation of Assets

When undertaking a financial assessment, the Local Authority will look carefully at the person’s assets. This includes reviewing what they have done with their assets over the years. There is no time limit for this.

They will look for any evidence that a person may have deliberately given away their assets with the intention of avoiding care fees. This is known as ‘Deliberate Deprivation of Assets’.

If the Local Authority find evidence that a person has done this, they will deem that the resident still owns that capital and may seek to recover the assets, or payment of care fees, from the recipient(s) of any gifts.

NHS funding (NHS CHC)

This is funding available through the NHS if you have been assessed as having a primary health need. This type of funding isn’t means tested, so it could mean that you’d receive your care free of charge.

However, if mistakes or omissions are made during the assessment, you may be denied the funding that you’re entitled-to.  If you need advice about preparing for or challenging an NHS Continuing Healthcare decision, please visit our NHS Continuing Healthcare page.

Planning for care

It is possible to plan ahead for future care needs, including its financial impact. However, it is important to be wary of any financial product which guarantees you will be able to avoid care fees. As explained above, you could be accused of ‘Deliberate Deprivation of Assets’ and the local authority could look to recover those assets

At Rothera Bray our specialist team can advise on the following:

  • Preparing for a care needs assessment
  • The eligibility criteria, including any exemptions within the financial assessment
  • The rules concerning deliberate deprivation of assets

We can also:

  • Liaise with social services on your behalf
  • Challenge a funding decision made by social services
  • Assist on a first-time application for NHS Continuing Healthcare, or challenging an NHS CHC decision.

We also offer a service called ‘Preparing for Care’ which includes a one-hour phone call/meeting, and a Preparation For Care report tailored to your circumstances for £838.80 (£699 plus VAT at 20%).

 

For straightforward advice on care funding

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Our team.
Emily Gordon, Senior Associate in the Mental Capacity and Court of Protection team

Emily Gordon

Senior Associate

Emily Gordon is a Senior Associate in Rothera Bray’s Mental Capacity and Court of Protection department and is based at our Nottingham office.

Ruth Tarr, Senior Associate Solicitor in our Wills and Probate team

Ruth Tarr

Senior Associate Solicitor

Ruth is a Senior Associate in Rothera Bray’s Mental Capacity and Court of Protection team. She is based at our Lace Market office in the heart of Nottingham city centre.

Lyndsey Hudson

Lyndsey Hudson

Solicitor

Lyndsey is a Solicitor in Rothera Bray’s Mental Capacity and Court of Protection department. She is based at our Nottingham office.

Louise Mathison

Louise Mathison

Paralegal

Louise Mathison is a Paralegal in Rothera Bray’s Mental Capacity and Court of Protection department and is based at our Lace Market, Nottingham office.

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