Organisations involved in health and care have come together to launch a major public debate on the future of long term care funding.
The 'Caring Choices' coalition is run by Help the Aged, Age Concern, the King’s Fund and the Joseph Rowntree Foundation, and supported by 11 other key organisations from the field of health and social care.
Regional debates will be held to address the current failings of the care system and consider how we can reach a fairer system of paying for care.
A panel of high-profile speakers will be present at each event, with an audience including older people, care providers and policy makers. Participants will explore key themes and take part in an interactive voting session.
Each event will focus on three key questions:
What elements of care, and in what proportion, should be paid for by the state and by individuals?
How do we encourage people to contribute to their care costs?
How do we encourage communities and families to provide informal care?
Mervyn Kohler, of Help the Aged, says: “Many people get a nasty surprise when they develop care needs and discover that they may have to pick up the bill. Getting the balance between what is fair for individuals to contribute and what the State should pay is the first step towards creating a fairer system all round. The Government alone can’t make this decision, we all must have a say.”
The Caring Choices debate will explore three big questions that relate to the future funding of long-term care for older people:
1. Who should pay for personal care?
2. How do we encourage people to contribute to care costs?
3. How do we support the provision of informal care?
Who should pay for personal care?
At present, just over half of all care costs in England are paid for by the state, concentrated on those who have the fewest resources in terms of income and capital. These costs include nursing care, personal care and, for those in care homes, the cost of accommodation, sometimes called ‘hotel costs’. About 60 per cent of the total cost of personal care in England is paid for by the state. Participants will be asked to discuss what elements of care – and in what proportion – should be covered by state funding in the future as well as how any increase in eligibility could be funded.
How do we encourage people to contribute to care costs?
More people are living longer into old age, with a higher probability of having a continuing illness or disability – this means that the government is likely to need more funds to meet the cost of care. As a society we may choose simply to fund this via the tax system and leave the government to decide on spending levels. However, our assumption is that in future people will be expected to make more of a financial contribution towards the costs of care. Already, many more people have experience of owning their own homes, managing their own assets and making lifestyle choices and therefore may have higher expectations of the quality of life they want in later life.
The government may therefore require or encourage people to contribute to their care – through mechanisms such as equity release, which enable the release of housing assets to fund enhanced care packages. Therefore, more people may choose to enhance or otherwise manage the package of support to meet their needs – or those of their families – in later life. Participants will be asked to discuss possible characteristics of schemes that would help people to contribute to care costs and what makes a system feel fair and safe.
How do we support the provision of informal care?
A substantial majority of the personal and social care provided to older people has been provided informally – that is, by family members, friends, neighbours and communities. This has been a crucial and substantial element of the resource available to older people in our society. In future, there will be more older people, living alone. Participants will be asked to discuss how, as a society, we should value and encourage the provision of informal care in future and what, if any, incentives could be offered to achieve this.
‘Caring Choices: Who will pay for long-term care?’ is a nationwide initiative to help shape future policy on long-term care for older people.
‘Caring Choices: Who will pay for long-term care?’ is a collaboration of 15 organisations representing all aspects of the long-term care system.
In partnership with:
Alzheimer’s Society
Association of British Insurers
Association of Directors of Adult Social Services
Carers UK
Counsel and Care
English Community Care Association
Independent Age
Local Government Association
Royal College of Nursing
NHS Confederation
Social Care Institute for Excellence
Long term care insurance: News update: May 2007
