Reports suggest the Government will go ahead with Andrew Dilnot’s proposed cap on the cost of adult social care. However, this is yet to be confirmed by the Government and no details have been announced. If the reports are correct and a new cap is put in place, the earliest that people requiring care will benefit will be in 2025.
Reports in the media have suggested that the Prime Minister, David Cameron, has decided to go ahead with proposals set out by the leading economist Andrew Dilnot to cap the cost of care. When the recent Social Care White Paper and Draft Care and Support Bill were published alongside a Progress Report on Funding, the Government had originally said that any decisions on funding would be delayed until the next Comprehensive Spending Review (CSR) which is expected in late 2013/2014. However, reports now suggest that the Government are looking to proceed with plans to cap the cost of adult social care at £55,000 and raise the asset threshold from £29,250 to £130,000.
The proposals are still to be formally signed off, but if they are, then an announcement is expected in the autumn. To enable these plans to be put in place, legislation will need to be passed, and this will, therefore, mean that they are likely to be included in the Draft Care and Support Bill, which is set to be introduced as a formal Bill in the 2013/14 Parliamentary session. If the plans are accepted and legislation passed, reports have suggested that the new funding model will be in place in 2027.
If the reports prove to be true, then we welcome the Government’s proposals and see them as a sign that they are taking the reform of adult social care seriously. However, as yet we do not know the full details of the proposals and clarification will be needed around what is and what is not included in the cap. The Dilnot proposals only cover personal care costs up to the Local Authority rate. General living expenses, hotel costs, and any costs above that rate would be for the individual or family to pay for. It is also worth noting that if the proposals are accepted and implemented in 2017, due to the way the cap is currently set out, many people will not actually benefit from it until 2020 when the initial £35,000 will have been exhausted.
While the reports would suggest a step in the right direction, it does not offer an immediate solution. This is also the case for the other recent proposals set out in the Draft Care and Support Bill, which include Universal Deferred Payments (set to be introduced in 2015). It is, therefore, essential that people requiring adult social care now and in the foreseeable future get specialist financial information and advice now so that they can make fully informed choices for care fee funding.
