New Model Adviser - For Professional Investors

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

Gov't confirms £75k cap on long-term care costs

1 Comment
Gov't confirms £75k cap on long-term care costs

Health Minister Jeremy Hunt has confirmed government plans to cap long-term care costs at £75,000, and a new means test threshold of £123,000.

This means a person can hold £123,000 worth of assets and still receive support from the state for their care home costs.

The reforms will cost the £1 billion a year by the end of the next Parliament.

Hunt (pictured) also confirmed that the cost will be met in part by extending the freeze on the inheritance tax threshold at £325,000, or up to £650,000 for couples, by three years from 2015-16.

Hunt said: 'As we get older none of us can have any way of knowing what care needs we will eventually face.'

‘We want to accept a national eligibility test and set a standard so that no one should have to sell their home to pay for their care.'

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Comment & analysis
Investment

Passive perspective: On the mend

Passive perspective: On the mend

Issues over pricing and stock levels have caused biotech share prices to nosedive recently. Despite the White House declaring war on drugs, there is still cause for optimism

Twitter