Rise in limit for care funding

PEOPLE will be able to keep more of their savings when they move into residential homes in Wales, it has been announced.

The Welsh Government has published a new five-year plan which promises to more than double the amount people can keep from £24,000 to £50,000.

Social Services Minister Rebecca Evans said the limit would rise to £30,000 in April 2017 as a first step in the process.

The capital limit determines whether a person self-funds the full cost of their residential care or whether they receive financial support towards this from their local authority.

The Welsh Government says there are up to 4,000 care home residents who pay for the full cost of their care.

Increasing the capital limit to £50,000 has the potential to benefit up to 1,000 of these depending on the value of the capital they hold.

The Older People’s Commissioner has previously described social care funding as “the elephant in the room”.

Mario Kreft MBE, chair of Care Forum Wales, said the 7.5% increase in the minimum wage this April, following a 3% increase last October, had put huge pressure on the sector.

“Local authorities and health boards have not been able to cover these increases in their fees,” he added.

“We are concerned that any losses to the sector due to these changes, estimated at over £10m across Wales, will need to be met in full by Welsh Government, otherwise the sector will be unsustainable.

“The vast majority of care homes in Wales are already heavily dependent on public sector fees and this change potentially increases number of residents dependent on the public sector. Therefore the costs need to be met in full by public sector.”

Ms Evans added that Army veterans will have their war disablement pensions totally disregarded when councils assess charges for social care.