Financial Advice

Currently, if you have capital of over £23,250 it’s likely you will have to pay the full amount of your care home fees yourself. If it is under £23,250, you might get some support from the local council, but you might have to contribute towards the fees.

If you move into a care home permanently, your home will not be included in your capital if, for example, your partner lives there or, in some circumstances, a relative.

We accept funding from people paying for their own care and publicly funded residents (Local Authority and NHS).

However, if The Mayfield is more expensive than the local authority usually pays for a person with your assessed needs, then you may need to make up the difference. This is called a ‘top-up fee’ and needs to be paid by a third party (e.g. a friend or relative). You are not able to pay this yourself as you have been financially assessed to pay what you can afford.

A Deferred Payment Agreement (DPA) allows you to stay with us even if you cannot immediately afford care home fees because your property has not yet been sold. Under this agreement, you pay only a small weekly fee while we defer the remaining balance. Once your home is sold, the outstanding fees are recouped, and you begin paying the standard rate. During this period, we do not charge any interest on the deferred fees.

Alternatively, if you own your home, you may be eligible for a long-term loan from your local authority to help cover care home costs. This loan is secured against the value of your property and does not need to be repaid until you sell your home or following your death.

The local authority will pay your care home fees on your behalf under a legal agreement. However, unlike private agreements, local authority loans under a Deferred Payment Agreement accrue interest and may include administration fees.

Deferred Payment Agreements are only available for long-term care and not for short-term stays. They are offered by local authorities in England, Scotland, and Wales to those who meet the eligibility criteria. For further details, contact your local authority.

As a residential care home (as opposed to a nursing home), we are unable to accept people who have been assessed and qualify for NHS-funded nursing care.

Some people with long-term complex health needs qualify for free social care which is arranged and fully funded by the NHS. To be eligible for NHS continuing healthcare (commonly referred to as CHC), you must be assessed by a team of healthcare professionals (a multidisciplinary team).

We can accept CHC funding, in some instances. However, as we are not a nursing home we are not able to accept CHC funding with a nursing determination.

If you have capital of over £23,250 then it is likely you will not be eligible for support from North Yorkshire County Council until your capital falls below this amount. Private care fees will therefore have to be paid for using your capital and income.

Most assets are included in a means test. Your house is not included if:

– It is inhabited by a child under 16.
– You are within the first 12 weeks of being in permanent care.
– You are temporarily in care.
– Your parent is still living there.
– A relative over 60 is living there.
– A disabled relative is living there.

Your home is not included in the means test for the first 12 weeks following a permanent move into a care home. This means that if their remaining capital falls inside the current threshold, then the local authority should assist you with the payment of your care fees.

It is worth noting that the money paid out by the local authority during the first 12 weeks is not normally repayable. If, after the first 12 weeks, the property has not been sold, the local authority can continue to pay towards the care fees, under the “deferred payment agreement”, but this money is repayable once the property is sold.

As mentioned above, local authorities typically only pay fees up to a set amount. This could mean a top-up fee needs to be paid for you to stay at The Mayfield.

From January 2023, North Yorkshire County Council will introduce a new £86,000 cap on the amount anyone in England will have to spend on their personal care over their lifetime. The cap will apply irrespective of a person’s age or income. The legislative framework for a cap is already provided by the Care Act 2014, but the relevant provisions are not currently in force.

Only money spent on meeting a person’s personal care needs will count towards the cap. Spending on daily living costs (commonly referred to as “hotel costs” in a care home) is not included. The Government has said daily living costs will be set at £200 per week.

The cap will not apply retrospectively (i.e. costs accrued before June 2023 will not count towards the cap).

Any money paid by a local authority towards meeting a person’s eligible care needs will not count towards the cap.

These are the benefits that can still be claimed while living in a care home:

- Basic State Pension and New State Pension
- Pension Credit
- Employment and Support Allowance (ESA)
- Attendance Allowance
- Personal Independence Payment (PIP)
- Disability Living Allowance (DLA)
- Industrial Injuries Disablement Benefit (IIDB)
- Armed Forces Independence Payment (AFIP)
- Universal Credit (UC)
- Bereavement Support Payment (BSP)
- Statutory Sick Pay (SSP)

Attendance Allowance is a benefit for people of State Pension age with a disability or terminal illness who needs someone to look after them.

It is not means tested and is tax-free. It will be paid to you irrespective of your income and savings but will normally be counted as income by your local authority in their Financial Assessment.

If you pay for your own care, you will continue to receive Attendance Allowance payments as normal.

If your local authority is contributing towards your care home fees, you will only receive Attendance Allowance for the first 28 days. If you move out of the care home, your payments can resume.

We do not charge any upfront fees or deposit. Residents who are paying for their own care are required to have a Guarantor who gives a guarantee that the fees will be paid.

Equity release lets homeowners access the value of the equity in their homes on a tax-free basis. Equity can be taken out in a lump sum or in smaller amounts over time, or a combination of both.

There are two main options of equity release, which is either through a lifetime mortgage (securing a loan against your property) or through a home reversion plan (selling a share of your home).

Whichever option you choose, you retain the right to keep living in your home.

The money taken out of your home must be repaid to the lender. This usually happens if you move into long-term residential care or after you have died.

As equity release involves securing a loan against your property or selling a share of your home, it should be considered carefully.

You should get professional advice and consult an independent financial adviser before making a decision.