Paying for your own care and support Important information if you are paying for your own care and support needs or may need to in the future
Contents Page Paying for your care and support 3 What options are available to you for arranging care at home? 4 What options are available to you for arranging care in a care home? 5 What options are available to you to fund your care home fees? 6 Where can I get advice? 11 National advice 11 Local advice services 13 Independent financial advice 17 Where can I get independent financial advice? 18 What if I have a complaint about the financial advice? 19 2
Paying for your care and support Planning ahead and making decisions about care and support can sometimes be difficult. This booklet provides information to help you think about these decisions especially if you are already receiving care or may need to in the future. It will signpost you to organisations that can provide help and advice. Some advice is provided free of charge, although some organisations may charge for their services. The information contained in this booklet is intended as guidance only and does not constitute any endorsement of the organisations listed by the Council. If you are receiving care and support, you need to consider how that support is funded and if you qualify for financial support from the Council. In the following circumstances, you will be expected to fully fund your care services: If you are receiving care in a care home and you have over 23,250 in capital and/or savings. (The value of your home is counted as capital, after the first 12 weeks of your stay, when you are receiving long term care in a care home). If you are receiving care and support at home and you have over 23,250 in capital and/or savings. (The value of your home is not counted as capital, if you are receiving care at home). 3
If someone is living in your property, while you are receiving care in a care home, for example your spouse or partner or a dependent relative, then the value of your home may not be counted as capital. If your capital is below 23,250 you may be entitled to help with your care home fees from the Council. The Council can provide you with more information about who is regarded as a dependent relative and how this affects your entitlement to funding from the Council towards your care home fees. If you are funding your own care it is important that you receive good information and advice to help you make the most of your money, and to make good choices about your care. It is also important that you receive independent financial advice which is not provided by the Council or an advisor linked to an organisation which provides care services or a particular financial institution. This means that the advice that you receive is impartial. The information in this booklet will help you decide who to go to for that advice. What options are available to you for arranging care in your own home? If you need care and support to enable you to remain in your own home and you do not qualify for financial support from the Council towards your care costs, the following options are available to you: You can arrange the care and support yourself. There are local organisations who can help you with this (e.g. Ruils) and their details are included in this booklet. 4
You can ask the Council for help. You will be assessed to see if you have eligible care needs and if you do, we can arrange the care for you. There will be a charge of 50 per week for meeting these arrangements. You can choose care from one of the Council s contracted care providers or you can choose your own care provider and receive help with payroll and employment arrangements. The Council s Access Team can provide you with further details. Telephone: 020 8891 7971 Text phone: 18001 020 8891 7971 Email: adultsocialservices@richmond.gov.uk What options are available to you for arranging care in a care home? If you need care in a care home and you do not qualify for financial support from the Council towards your care costs, the following options are available to you: You can ask the Council to assess your care needs. If you have eligible care needs but are not eligible for financial support from the Council, the Council will be able to provide you with details of suitable care homes. The Council s Access Team can provide you with further details. Telephone: 020 8891 7971 Text phone: 18001 020 8891 7971 Email: adultsocialservices@richmond.gov.uk 5
What options are available to you to fund your care homes fees? 1. Using savings and/or income from investments or property There is an option to use your savings or investment income to fund your care and you should consider this, having taken independent financial advice. 2. Sale of property You may wish to sell your property to pay for your care home fees. There are also other options other than selling your property, such as equity release schemes or a deferred payment agreement. (See below) 3. Purchase a care fees plan A care fees plan requires a lump sum payment to an insurer who will then guarantee to cover residential and nursing fees for the rest of your life. Fees are paid directly by the insurer to the care home provider. You should seek advice from an Independent Financial Adviser regarding a care fees plan. 4. Equity release There are various types of equity release schemes on the market. These can include schemes where you take out a lifetime mortgage with the amount you have borrowed being paid back plus interest, upon death or sale of the property. There are also schemes where you sell a share of your property while remaining in the property. When you die or move into a care home, the property is sold and the equity provider receives their share from the sale. 6
The main features of equity release schemes are as follows: normally an arrangement fee will be charged interest will be charged and added to the loan your property is taken as security for a loan the loan will be repaid either upon death or sale of the property. You should seek advice from an Independent Financial Adviser regarding the different equity release schemes and the providers available. 5. Rental income from your property You could generate rental income from your property to help towards your care home fees. A family member could help you with arrangements for managing the tenancy. Alternatively, a letting agency could help you rent out your property. The letting agency can provide a number of services that includes the following: introductory service to help you find a tenant administration service e.g. taking up references on the tenant, drawing up a tenancy agreement and a schedule of conditions collecting the rent from tenants full management service for the property. 7
There will be fees payable to the letting agency for any service provided. It is important to choose a reputable letting agency, ideally one recommended to you by family or friends and to understand the fees they will charge and the level of service they will provide. There is advice about property rentals on the following government website: www.gov.uk/renting-out-a-property/landlord-responsibilities 6. Short term leasing scheme The Council has a scheme whereby it can enter into a lease agreement with you to use your property for people in need of housing, allowing you to generate rental income from your home to help towards your care home fees. This will also ensure your property remains occupied. During the period of the agreement the Council will: make payments to you manage the property for you return the vacated property to you at the end of the agreed time. We will need to speak to you or your representative to give you further details about the scheme and answer any questions you may have. If you decide the scheme is right for you, we will carry out an inspection of your property and see some safety certificates to make sure it is suitable before the lease can start. To find out more about the scheme contact: Telephone: 020 8891 7545 Email: temporaryaccommodation@richmond.gov.uk 8
7. Empty property grant scheme Your property may be left empty, when you move into a care home. If you are leaving your property empty and it is in need of renovation, then you may be able to apply to the Council for a Renovation Grant, available to owners of vacant properties. The Empty Property Grant Scheme is open to anyone with a property that has been vacant for a minimum six month period, who will offer the property (once repaired) to the Short Term Leasing Scheme for a minimum period of five years. The maximum grant is 25,000 per unit. For more information about grants, please contact: Telephone: 020 8891 7759 / 7857 Email: residentialeh@richmond.gov.uk 9
8. Deferred payment The Council has a Deferred Payment Scheme which means that those who are eligible can delay paying part of their care home fees during their lifetime or until they have sold their property. The Council will enter into a deferred payment agreement, using the value of your main home as security. Those who qualify for a deferred payment will not have to sell their home during their lifetime. An arrangement fee and interest charges are applied. For more information about deferred payments, please contact: Telephone: 020 8831 6400 Email: charginghelpline@richmond.gov.uk These are the main options available to you if you are funding your own care, although there may be other options or financial products which may be more appropriate for you. It is recommended that you contact an Independent Financial Adviser to determine the best options for your particular circumstances. 10
Where can I get advice? 1. National Advice There are many national organisations which provide advice on care and support, which include: Age UK Age UK provides information and factsheets on a variety of subjects including paying for care and support at home; finding care home accommodation; planning for retirement etc. These can be accessed online using the following link and then searching for factsheets. Web: www.ageuk.org.uk SOLLA The Society of Later Life Advisers is a not-for-profit organisation. It provides financial products and services to the later life market. Their aim is to ensure that consumers are better informed about the financial issues of later life and can find a fully accredited adviser quickly and easily. They do not provide financial advice themselves but they can help you find trusted accredited financial advisers who understand financial needs in later life. 11
Gov.uk This Government website provides information from all government departments, including policies, announcements, publications, statistics and consultations. It also includes financial information that may help you. Web: www.gov.uk The Money Advice Service This is a Government website that has been set up to provide free and impartial money advice in many areas. There is a section for care and disability that includes care advice and help and paying for care. Web: www.moneyadviceservice.org.uk Pension Wise This is a free and impartial Government service which helps you understand your pension options. Web: www.pensionwise.gov.uk 12
2. Local Advice Services Voluntary Organisations There are many local and national voluntary organisations which provide information and advice. Richmond Citizens Advice Bureau (CAB) Richmond Citizens Advice Bureau provides free, confidential, impartial advice to everybody. It helps people with the issues that are important to them, whatever the problem, they are there to help. It is able to give free impartial Money Advice on how best to manage all aspects of your personal finances; including your entitlements under the Care Act and paying for your care. Telephone: 020 8712 7800 Web: www.rcabs.org/contact 13
Richmond AID Richmond AID is a charity run by and for disabled people in the London Borough of Richmond upon Thames and surrounding areas. It supports people of all ages with disabilities, including physical and sensory impairments, mental health issues and learning disabilities. Their aim is to support disabled people to live independent lives and to have the same opportunities as non-disabled people. The charity provides disabled people and their families and carers with a range of services from welfare benefits advice, help with employment and training, garden service (SPADE) to their Advice Service including general advice and information on how to pay for your care. Advice Line: 020 8831 6070 Web: www.richmondaid.org.uk GoLocal GoLocal provides information about local services, activities and events. It offers opportunities and support for people to participate in local activities across Twickenham, Whitton, Barnes, Mortlake and East Sheen. Telephone: 020 8973 1877 Email: hello@golocal.org.uk Web: www.golocal.org.uk #GoLocal 14
The Community Partnership The Community Partnership provides information about local services, activities and events. It offers opportunities and support for people to participate in local activities across Teddington, The Hamptons, Richmond, Kew, Ham and Petersham. Telephone: 020 8831 6464 Email: advice@commpartnership.co.uk Web: www.commpartnership.co.uk 15
Ruils Ruils is a local, user-led charity supporting individuals (irrespective of age, impairment, health condition or capacity) to live independently at home and in their community. It provides a range of services from information, advice and advocacy to a befriending service where volunteers visit and support individuals at home. Ruils can help you if you are starting to think about getting help for your daily life and are funding your own care. Ruils services include researching, helping you choose and set up support with services tailored to you. For information on packages and pricing call their Independent Living Advisor. Telephone: 020 8831 6088 Age UK Richmond Age UK Richmond is an independent charity working across the borough to improve the quality of life for older people. They offer a wide range of services including a telephone helpline, handyperson service and social centres in Barnes, Twickenham and Whitton. Telephone: 0845 600 1090 Email: info@ageukrichmond.org.uk 16
Independent Financial Advice Throughout your life you are likely to need different financial products. A financial adviser can help you make the right decision about the best product for you, but the advice is not free. There are two types of financial advice you can get, independent or restricted: Independent financial advisers (IFAs): If an adviser is independent or a firm advertises that it gives independent advice this means that it is able to advise and sell products from any provider across the market. Therefore you should get the very best advice and products tailored just for you. Restricted advisers: If an adviser or firm is restricted it can only recommend certain products or product providers to you. The adviser should clearly be able to explain the nature of the restriction to you, but if you are not sure then it is best to ask. To be classed as an independent financial adviser, an adviser needs to: offer a broad range of investment products give consumers unbiased and unrestricted advice based on their comprehensive and fair analysis of the relevant market tell consumers, before advising them, that they are an independent adviser. 17
Where can I get independent financial advice? SOLLA The Society of Later Life Advisers (SOLLA) has a find an adviser webpage. You can find an independent financial adviser who is suitably qualified to provide later life advice via the website: www.societyoflaterlifeadvisers.co.uk Financial Conduct Authority The Financial Conduct Authority (FCA) regulates over 50,000 businesses and is accountable to the Treasury, although independent from government. Its aim is to enable consumers to get a good deal. The FCA maintains a register of firms or individuals it has authorised to do business, carry out regulated activities or provide products or services. You can search the FCA register at: www.fca.org.uk 18
What if I have a complaint about the financial advice? Financial Ombudsman Service If you are unhappy with any financial advice you have received from an IFA, you can make a complaint direct to the company. If they have not responded within eight weeks or you are still unhappy then you can contact the Financial Ombudsman Service. They have been set up by parliament to sort out individual complaints that consumers and financial businesses aren t able to resolve themselves and their service is free. You can ring them Monday to Friday (8am to 8pm) or Saturday mornings: Telephone: 0300 123 9 123 or 0800 023 4567 Email: complaint.info@financial-ombudsman.org.uk You can also make a complaint online via their website. Web: www.financial-ombudsman.org.uk Disclaimer: The information contained in this booklet is intended as guidance only and the London Borough of Richmond upon Thames cannot accept any responsibility for any financial loss arising from the use of information contained in this booklet. If you are fully paying for your own care, it is recommended that you seek independent financial advice and in certain circumstances, such as when you are using your property as security, independent legal advice. 19
How to contact the Access Team Telephone: 020 8891 7971 Textphone: 18001 020 8891 7971 Email: adultsocialservices@richmond.gov.uk Website: www.richmond.gov.uk/access_team Where to find us Adult and Community Services Civic Centre 44 York Street Twickenham TW1 3BZ Our offices are open Monday to Thursday from 9am to 5.15pm and on Friday from 9am to 5pm. If you have difficulty understanding this publication and you would like this leaflet in a different language, large print, or Braille please call 020 8891 7971. Ref: 167/03/16