Changes to care costs from October 2023
From October 2023, the government is introducing new rules on funding for social care services. This means that for many people the amount they pay for their care will change. More people will be entitled to financial help from the council towards the cost of their care.
There will also be an upper limit on the amount that people will have to spend on their eligible care and support needs over their lifetime.
The changes are explained in more detail below.
Changes to the amount you have to pay for care
The amount you have in savings and assets is called ‘capital’ and it affects how much you have to pay towards your care.
From October 2023, if you have capital:
- below £20,000: you will only pay what you can afford towards your care from your income. You will not pay anything from your capital.
- between £20,000 and £100,000: you will pay what you can afford towards your care from your income and £1 for every £250 you have in capital between these two limits.
- over £100,000: you will pay the full cost of your care and support. This is called self-funding.
Cap on care costs
The amount people need to spend on their eligible personal care needs in their lifetime will be capped at £86,000.
Everyone who is assessed as having eligible care and support needs has a financial assessment. This tells you how much you will pay towards your care. This amount is called your ‘contribution’.
It is these contributions – the amount you pay yourself for your eligible care – which are added up until you reach the £86,000 limit.
How the care cap works for self-funders
If you pay the full cost of your care and arrange it yourself, the amount that is counted towards the care cap is equal to what the council would pay for your eligible care and support. It may not be the same as the total amount that you pay for your care if you receive services which are more expensive, or you choose to have additional care.
Get more information
For more information, visit: Adult Social Care funding reform | GOV.UK
We are currently working with the government on how we will apply these changes. We will update this information in early 2023, when more detail is available.
Whether you already pay for all of your services or you get support from Adult Social Care, you do not need to do anything now. If you have any questions about these funding changes, please email: ASC funding reforms.