Increase in Care Home Fees 2024

chickenlady

Registered User
Feb 28, 2016
123
0
I got my letter today - I need to find an extra £560 per month with an increase on 8.8% - Mums only been in care since December (with 2 weeks in hospital). I am really anxious as I don't think I can afford to keep her there now. It was SUCH a hard decision to make - letting alone getting her in there - I feel really let down as my expectations were not managed by anyone at the home. - I also feel stupid for not knowing this would happen. She is thriving in care - and I want it to continue - and don't really know what to do now.
When her assets fall below certain amount the local authority will pay the fees. Speak to citizens advice.
 

ShonaR

New member
Apr 9, 2024
4
0
Hello
Just received the letter telling me parents Care Home fees to rise again by 10% this year .
Just wondered if anyone else has had notification of an increase and what it might have been ?

I understand the difficulties for the Home but it certainly focuses the mind in sorting out the money required
Same here. My dad's fees have just gone up again, this time by 7.5%, but in the 2 years he has lived in the home they have gone up 4 times, totalling almost a 40% increase since he moved in! I accept minimum wage has risen, inflation has been high, energy cost too, but really the issue is the size of profit the owners of these private care homes want to keep for themselves, and the enormous dividends they pay themselves. I looked the care home company up at Companies House - their accounts made for interesting reading and contradict all the reasons we have been spun by them over the last 2 years to justify 'unavoidable' and 'necessary' fee increases. It's immoral, and exploits the vulnerable people that need care.
 

Rayreadynow

Registered User
Dec 31, 2023
315
0
Same here. My dad's fees have just gone up again, this time by 7.5%, but in the 2 years he has lived in the home they have gone up 4 times, totalling almost a 40% increase since he moved in! I accept minimum wage has risen, inflation has been high, energy cost too, but really the issue is the size of profit the owners of these private care homes want to keep for themselves, and the enormous dividends they pay themselves. I looked the care home company up at Companies House - their accounts made for interesting reading and contradict all the reasons we have been spun by them over the last 2 years to justify 'unavoidable' and 'necessary' fee increases. It's immoral, and exploits the vulnerable people that need care.
Publicity around the raising of the minimum wage for care workers neglects to point out that most people in care homes are self funders.
 

Louise7

Volunteer Host
Mar 25, 2016
4,798
0
most people in care homes are self funders.

That's interesting Rayreadynow, where did you get that information from?

The the most up to date estimated figures available from the ONS regarding care home self-funders give a different picture:

From 1 March 2022 to 28 February 2023, there was a statistically significant 3.1% increase in the number of care home residents (372,035); of these, 37.0% (137,480) were self-funders, which is not a significant change since last year.

The South East remained the region with the highest proportion of self-funders in care homes (47.5%), which is statistically significantly higher than the North East, which had the lowest proportion of self-funders (26.4%).

Care homes providing care for older people remained the care homes with the highest proportion of self-funders (48.9%), which was statistically significantly higher than all other care home types; care homes for younger adults remained the lowest (2.0%).


If interested, there are lots of other statistics too about ratios of self-funders based on information such as geographical areas, type/size of care home, CQC ratings:

 

Rayreadynow

Registered User
Dec 31, 2023
315
0
That's interesting Rayreadynow, where did you get that information from?

The the most up to date estimated figures available from the ONS regarding care home self-funders give a different picture:

From 1 March 2022 to 28 February 2023, there was a statistically significant 3.1% increase in the number of care home residents (372,035); of these, 37.0% (137,480) were self-funders, which is not a significant change since last year.

The South East remained the region with the highest proportion of self-funders in care homes (47.5%), which is statistically significantly higher than the North East, which had the lowest proportion of self-funders (26.4%).

Care homes providing care for older people remained the care homes with the highest proportion of self-funders (48.9%), which was statistically significantly higher than all other care home types; care homes for younger adults remained the lowest (2.0%).
Thank you for the ONS link, very useful. This does not include those people who also contribute their pensions to care fees and are not classified as self-funders by the Local Authority.
 

SAP

Registered User
Feb 18, 2017
1,400
0
Thank you for the ONS link, very useful. This does not include those people who also contribute their pensions to care fees and are not classified as self-funders by the Local Authority.
That is because they are not self funding. Anyone who goes into residential care will need to contribute their state pension if they are being funded by the local authority. This is very different to someone who is self funding. A state pension pays for a persons living costs ( it may not be anywhere near enough but that a conversation for another time) When a person is in residential care, they do not need to pay heating bills, council tax, food bills and all the other household items 😊. Obviously there is the personal allowance that is made for buying clothes , toiletries etc. ( again it is probably not enough)
 

Rayreadynow

Registered User
Dec 31, 2023
315
0
When a person is in residential care, they do not need to pay heating bills, council tax, food bills and all the other household items 😊. Obviously there is the personal allowance that is made for buying clothes , toiletries etc. ( again it is probably not enough)
I would say that all these charges are included in the fee. For example, lease fee has to be paid. My PWD Care Home has to pay almost £1 million per year in lease back fees.
 

SAP

Registered User
Feb 18, 2017
1,400
0
I would say that all these charges are included in the fee. For example, lease fee has to be paid. My PWD Care Home has to pay almost £1 million per year in lease back fees.
The PWD does not have these bill to pay on their own in their own home but as residents their money goes towards the running of the home collectively.
A state pension is paid by the state, so when the state needs to pay for a persons care, they require that pension back and this is not self funding.
 

Rayreadynow

Registered User
Dec 31, 2023
315
0
But if you are self funding you still have to use your state pension to pay for care. We all know its just not fair on those people who through no fault of there own require care.
 

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