The Government has rejected the Royal Commission on Long Term Care's recommendation of funding perso...
The Government has rejected the Royal Commission on Long Term Care's recommendation of funding personal care for all elderly people in residential and nursing homes.
Instead it is to limit its care funding contribution to free nursing care to the elderly, removing the anomaly of care being provided for free in a hospital but not in a nursing home.
Paul Bennett, marketing manager at PPP Lifetime Care, said the £1.4bn package, which will make nursing care free for the elderly from October 2001, was only likely to reduce nursing care bills by 25%.
He said: "If you look at the average UK elderly care bill of £19,000, including personal care such as feeding, washing or dressing and accommodation costs, it still leaves a big liability if it only covers nursing care."
The Government's package allocates £500m towards nursing care, omits personal or home care, and has allocated £900m to intermediate care, which will cover patients for their first three months of nursing home care from April 2001.
Bennett added: "From our claims experience around two-thirds of patients have opted to stay at home while they continue receiving care. This means people still have to protect their assets in some way and a good way for intermediaries to get the message across is to dovetail long term care provision with IHT planning."
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