Have you or a loved one ever wondered what happens if you can’t afford the cost of a care home? You’re not alone. With care home fees rising and families facing increasing financial strain, this is a question that worries many across the New Forest and beyond. Fortunately, there are structured systems in place that ensure people are not left without the care they need due to financial hardship. At Home Instead New Forest, we believe that everyone deserves compassionate, quality care—and that starts with understanding your options.
Understanding the Cost of Care Homes
Residential and nursing home fees in the UK can often exceed £1,000 per week. Over time, these costs can quickly drain savings and lead to concern over how future care will be funded. Many families assume they will need to sell property or dip into their pensions to meet these fees, but the truth is more nuanced.
Support is available through local councils, the NHS, and other pathways—especially for those who meet specific financial and care criteria.
Request a Care Needs Assessment
If you’re worried about paying for care, the first and most important step is to request a care needs assessment from your local authority. This evaluation is carried out by adult social services and will assess the level of help needed in your daily life—whether that’s support with mobility, hygiene, or managing a health condition.
Once the care needs have been established, a financial assessment follows. This determines whether you qualify for funding support and how much, if anything, you’ll need to contribute yourself.
Key Financial Thresholds in England
Under current rules in England:
- If your capital is above £23,250, you’ll likely be expected to pay the full cost of your care.
- When assets fall below £23,250, the local authority may begin contributing.
- If your capital drops below £14,250, you could receive full local authority funding.
However, from October 2025, new reforms will change these thresholds:
- Assets under £20,000 – No contribution required
- Assets between £20,000 and £100,000 – Partial contributions
- Assets above £100,000 – Full contributions until you have paid £86,000 in care costs
Scotland, Wales, and Northern Ireland each have their own thresholds and support mechanisms, with Scotland offering free personal and nursing care for those who qualify.
NHS Continuing Healthcare
Some individuals with long-term, complex medical needs may be eligible for NHS Continuing Healthcare (CHC). This is a package of care arranged and funded entirely by the NHS. Eligibility is based solely on health needs, not income or savings.
The process can be complex and requires detailed assessments, but if approved, all care costs—whether provided at home or in a nursing home—could be covered in full. For those who do not meet the criteria, the NHS-funded Nursing Care allowance may still help towards the cost of nursing support.
What If the Money Runs Out?
If you are already in a care home and your funds are depleting, the local authority may step in once your savings fall below the financial threshold. However, there are a few things to keep in mind:
Staying in the Same Home
If your care home charges more than the local authority is willing to pay, you might be asked to move. That said, councils must consider the emotional and physical impact of relocation, especially where health is concerned.
In many cases, a third-party top-up can be arranged. This means that a friend, family member, or charity agrees to pay the difference between the council’s rate and the actual cost of the home. However, this must be arranged formally, and the top-up payer must prove they can meet ongoing payments.
Deferred Payment Agreements
If you own a property but have no one living in it, you might be eligible for a deferred payment scheme. This allows the council to pay for your care while securing the amount owed against your home. The debt is settled once the property is sold, either during your lifetime or after.
Are Family Members Responsible?
It’s a common worry, but family members are not legally obliged to fund your care. Only the individual’s finances are taken into account during the assessment, unless someone else explicitly offers to contribute via a top-up.
Protecting Your Assets: Planning Ahead
Forward planning is always helpful. If you’re concerned about future care costs, you might wish to speak with an independent financial advisor or a solicitor specialising in elder care. Here are a few options people explore:
- Care annuities: These provide a guaranteed income specifically to cover care costs.
- Equity release: Access funds tied up in your home without needing to move.
- Gifting assets: Be cautious—local authorities can penalise what they consider ‘deliberate deprivation of assets’ if gifts are made to avoid care costs.
Getting professional advice early can help avoid complications later on.
Alternatives to Nursing Homes
A care home isn’t the only path forward. Depending on your needs, other care options might be more suitable—and often more affordable:
Home Care
At Home Instead New Forest, we specialise in personalised, home-based care that allows older adults to remain in the comfort of their own homes. This can be funded privately or with local authority support, and is often more cost-effective than full-time residential care.
We help with:
- Companionship
- Personal hygiene
- Medication support
- Mobility assistance
- Meal preparation and household tasks
Home care can be an excellent solution for those who do not yet require round-the-clock nursing support.
Assisted Living and Extra Care Housing
These settings provide a self-contained living environment with access to care staff on-site. It’s an option that offers independence alongside tailored support and can be easier to fund than full-time nursing care.
Hospice or End-of-Life Care
For those with terminal illnesses, hospice care is fully funded and available either in hospice facilities or at home.
Don’t Wait for a Crisis
Many people wait until a health crisis forces a quick decision. Planning ahead—whether for yourself or a loved one—can make a real difference in quality of care, financial stability, and peace of mind.
Start by speaking with your local adult social services and asking for a care needs assessment. At Home Instead New Forest, we can also provide advice and guidance to help you begin this journey, whether you’re exploring home care services or looking for signposting on financial options.
Final Thoughts: Care Is Within Reach
Worrying about care home costs is understandable, but you are not alone. With the right information, early action, and support, quality care remains accessible—even if you can’t afford a care home outright.
Here’s what you can do now:
- Arrange a care needs assessment through your local authority
- Request a financial assessment to understand funding eligibility
- Explore all available support options, including NHS CHC and deferred payment schemes
- Speak to care professionals, financial advisors, or elder law solicitors
- Talk to the Home Instead New Forest team about flexible care at home
