The Government have announced increases to the limits for assets that people can own before they are required to pay for their own care in old age. The new Personal Assets limits with effect April 2004 are as follows: The £12,250 Limit (currently £12,000) If you have assets below this limit all care is funded by the State, if it is above then for every £250 above you will £1 per week towards care.
The £20,000 Limit (currently £19,500) If you have assets below this limit (to the £12,250 threshold) for every £250 above you will £1 per week towards care as above. If you have assets above this limit you will pay for all care costs excluding the Nursing Care element. In simple terms, the state will pay for your injection but they will not pay for the bed you are lying in!
Our view
An inflationary increase just! Not much cheer for any of us as many of us may need care in the future. Many people do not realise that even if you wealth is tied up in "bricks and mortar"