If you need to move into permanent residential care and you own your own home, you may be assessed to pay the full cost of your care. This is unless your home is occupied by:
- your spouse
- partner
- civil partner
- or a qualifying relative
Where your property is not occupied by one of those people you will usually be assessed to meet the full cost of your care. This is either immediately or after the first 12 weeks.
You may be eligible for a Deferred Payment Agreement. This means that you should not have to sell your home in your lifetime to pay for your care.
A Deferred Payment Agreement is an arrangement with the Council that lets you use the value of your home to pay for your residential care. If you are eligible, the Council can pay your care home bills on your behalf to the home.
You can delay repaying us until you choose to sell your home or until after your death – or at an earlier time if you wish.
We will charge interest on the amount owed to us. There will be a fee for setting up this arrangement and some ongoing administrative charges.
See our:
Fees and Charges
Set up fees
|
Cost type |
Amount |
Type of charge |
|---|---|---|
|
Sole-owned and registered property |
£532.47 |
One off cost whether or not the application proceeds to completion |
|
Jointly owned/ unregistered/mortgaged property |
£740.77 |
One off cost whether or not the application proceeds to completion |
| Plus fixed legal charges | ||
| Valuation fee | £450 | Chargeable whenever a valuation is needed or requested. See * and ** below |
| Priority search | £7 | |
| Application to register at Land Registry | £20-£140 | Variable according to Equity Limit |
| Copy of Land register and title plan | £14 | |
| Land Charge search unregistered land | £6 per name |
*If the property is out of county and it is necessary to commission a surveyor local to that area for a valuation, this may attract additional costs.
**When 70% of the equity value (deferred amount) has been reached there will be a further valuation. We also reserve the right to undertake further valuations. This is where there is significant change which is likely to have impacted on the value of the property. This charge will also be raised when the person requests a further valuation.
Closing fees
|
Cost type |
Amount |
Type of charge |
|
Sole-owned and registered property |
£156.51 |
|
|
Other administration fees to be added and due for payment at the time of closure |
|
|
|
Redemption statement |
£43.44 |
Chargeable for each statement issued |
|
Six monthly statement |
£43.44 |
Chargeable for each statement issued |
|
Request for Disposable Income Allowance change |
£66.84 |
per request |
|
Administration fee for in-loan repayments |
£46.41 |
per payment |
|
Reminder letter issued for repayment of debt after agreement has ended |
£21.72 |
Chargeable for each letter issued |
|
Debt recovery costs |
Variable |
Any costs incurred in recovering the debt, if not repaid in full at the end of the agreement, may be charged in full |
Please note that the charge applied will be the applicable charge at the time the service / transaction is finalised. Any charges incurred will be payable even if the Deferred Payment Arrangement application does not complete.
Deferred Payments Interest charges
Interest will be charged at the maximum rate set by the Department of Health and Social Care. This is currently:
01/01/2024 - 30/06/2024 (inclusive) at 4.65% (compounded daily)
01/07/2024 - 31/12/2024 (inclusive) at 4.05% (compounded daily)
01/01/2025 – 30/06/2025 (inclusive) at 4.25% (compounded daily)
The interest rate is reviewed twice-yearly by the Department of Health and Social Care in January and July.
You can find advice on picking a Financial Adviser and whether you need one on the Money Saving Expert website.
The Society of Later Life Advisers (SOLLA) can help you find a local Financial Adviser. They provide expert advice around paying for care and understanding the options available.