LTC fees cap to almost double - report

The government is expected to recommend a cap on long-term care (LTC) fees of between £50,000 and £60,000, according to a report.

This would be almost double the £35,000 ‘most appropriate and fair' figure suggested by the Dilnot Commission last summer but is at the upper end of its favoured price range.

Britons are also likely to be encouraged to prepare for the potential costs of old age by a national awareness campaign prepared jointly by the Government and financial services industry to highlight the importance of planning for care costs.

This would need to be conducted through "a comprehensive system of social marketing, information, nudges and advice to support financial decisions as people work, retire and grow older".

According to the Daily Telegraph article, the scheme will nudge people to begin saving or buy a home to pay for their future care needs.

However, the cap recommended by the Dilnot Commission only applied to care fees, leaving individuals responsible for other substantial costs including accommodation and food.

As COVER previously reported, there has been substantial support among those involved in the LTC sector, including the ABI and age related charities, for the government to take on the Dilnot Commission's recommendations.

The report added that cross-party talks between the coalition and Labour are set to begin this week, with a view to publishing a White Paper in April.