Long Term Care

The FSA said it may look at ways to improve the standard of advice for products that meet care fees funding needs.

Advisers, providers and elderly charities welcomed the Dilnot report, but urged the government not to kick the recommendations into the long grass.

Actuaries' professional body, The Actuarial Profession, has said that, if implemented, the Dilnot Report will present significant opportunities for the long term care insurance market.

The Dilnot Report on care funding today suggested its recommendations, if adopted, could kick-start pre-funded products in the long term care (LTC) market.

The Commission on Funding of Care and Support today presented its findings to the government in its report Fairer Care Funding.

People in long term care (LTC) homes should not pay more than £35,000 for care and between £7,000 and £10,000 a year for accommodation and food, the Dilnot Commission has recommended.

Spending on social care of older people is set to be slashed by more than 8% this year and could accelerate the collapse of a crumbling system, Age UK has said.

The middle classes should pay the first £35,000 of their old age care and be encouraged to take out insurance to cover costs, according to reports.

Failure to act on the Dilnot Commission would be 'catastrophic', according to the ABI, Society for Later Life Advisers (SOLLA) and other bodies in the long term care (LTC) sector.

Any new legislation implementing private sector involvement in supporting the welfare state will not happen until a potential second term, according to the ABI.