Care home fees: who pays and the savings limits
Last checked November 2026. Offers and rules change: confirm with the provider before you rely on them.
Who pays care home fees depends on a means test of your savings, income and sometimes your home, and the thresholds are different in England, Scotland, Wales and Northern Ireland. There is no cap on lifetime care costs in force anywhere in the UK at the time of writing (November 2026).
The savings thresholds in each nation
If the council (or Health and Social Care Trust) agrees you need a care home, it carries out a financial assessment. Capital means savings, investments and, in some cases, property. These are the limits we found on official sources in November 2026:
| Nation | Upper limit | Lower limit | Source |
|---|---|---|---|
| England | £23,250 | £14,250 | Government charging circular for 2026 to 2027 |
| Scotland | £36,750 | £22,750 | Care Information Scotland, from 6 April 2026 |
| Wales | £50,000 | None (single limit) | GOV.WALES |
| Northern Ireland | £23,250 | £14,250 | nidirect |
- Above the upper limit you are a "self-funder" and normally pay the full fees.
- Below the lower limit your capital is ignored, but most of your income, including pensions, goes towards the fees.
- Between the two you pay from income plus a contribution from capital. In England and Northern Ireland this is worked out as £1 a week for every £250 (or part of £250) above the lower limit.
You always keep a small weekly personal expenses allowance for your own spending. At the time of writing it is £31.80 a week in England, £34.10 in Northern Ireland, and at least £46.35 in Wales. Ask your council for the current Scottish figure.
Is there a cap on care costs?
No. A lifetime cap of £86,000 on personal care costs was planned for England, first for October 2023 and then for October 2025. GOV.UK states that these charging reforms will not be taken forward; the decision was announced in July 2024. An independent commission on adult social care, chaired by Baroness Casey, has since been set up to look at longer-term reform. Until Parliament passes something new, the means test above is what applies.
How your home is treated
If you move into a care home permanently, the value of your home can be counted as capital. But it is ignored for as long as one of these people still lives there:
- your husband, wife, civil partner or partner
- a close relative who is aged 60 or over, or who is disabled
- a child under 16 (under 18 in some nations) whom you support
The 12-week property disregard
In all four nations, the value of your home is ignored for the first 12 weeks after you move permanently into a care home, provided your other capital is below the limit. During those weeks the council helps with the fees, which gives you breathing space to decide what to do with the property.
Deferred payment agreements
If you do not want to sell your home, or cannot sell it quickly, you can ask the council for a deferred payment agreement. The council pays part of the fees and is repaid later, usually when the home is sold or from your estate. It is in effect a loan secured on the property.
In England, councils must offer one to people who meet the conditions, which include having little capital apart from the home. Interest and administration charges normally apply. Scotland, Wales and Northern Ireland have their own arrangements, so ask your council or Trust.
You still need to insure and maintain the empty property (tell your insurer it is unoccupied: see our home insurance guide). Renting it out is sometimes possible and can reduce the debt. Compare a deferred payment with other options before choosing, and be especially careful with equity release.
Help that is not means-tested
- NHS continuing healthcare. If your needs are mainly health needs, the NHS may pay the full cost of the care home. See paying for care at home.
- NHS-funded nursing care (England). If you live in a nursing home and need care from a registered nurse, the NHS pays a flat weekly amount straight to the home: £267.68 a week from 1 April 2026, according to the NHS website. Wales and Northern Ireland have similar contributions at their own rates.
- Free personal and nursing care (Scotland). Self-funders in Scottish care homes who are assessed as needing it get £260.30 a week for personal care and £117.10 a week for nursing care, paid towards their fees, from 1 April 2026.
- Attendance Allowance. Self-funders can usually keep claiming Attendance Allowance. It normally stops after four weeks if the council is paying.
Top-up fees
If the council is paying and you choose a home that costs more than its usual rate, someone may be asked to pay the difference. This is a third-party top-up.
- The council must show there is at least one suitable home available at its rate. If there is not, it should pay the higher cost itself rather than ask for a top-up.
- The top-up is normally paid by a relative or friend, not by the resident, except in limited situations such as during the 12-week disregard or under a deferred payment agreement.
Common questions
Do my partner's savings count?
Only your own capital and income should be assessed. Joint accounts are normally treated as split equally, so it can be worth getting advice on how accounts are held.
Can my family be made to pay my fees?
No. Relatives are not responsible for your care fees unless they have signed an agreement, such as a top-up or a guarantee in the home's contract.
What happens when my money runs down?
Once your capital falls below the upper limit you can ask the council for help. Contact them a few months ahead, as assessments take time.