Wales Care Funding Guide: Understanding How to Pay for Care

Care funding in Wales works differently from England. If you're looking at care homes in Wales, this guide explains the Welsh system, what financial help you can get, and how to navigate the process step by step.

Understanding Care Costs in Wales

Current Weekly Fees (2026)

Care home costs in Wales vary by location and type of care needed:

Residential care: £800-£1,300 per week
Nursing care: £900-£1,500 per week
Dementia care: £850-£1,600 per week
Respite care: £750-£1,300 per week

Rural areas like Carmarthenshire tend to be less expensive than Cardiff or Newport. For example, Ashberry Healthcare's Welsh homes offer:

Blaenos House Nursing Home (Llandovery): Specialist dementia care
Allt Y Mynydd Nursing Home (Brechfa Forest): 17 acres of private grounds

Why Costs Vary

Several factors affect care home fees:

Location: City centres cost more than rural areas
Room type: En-suite rooms and those with views cost more
Care level: Nursing care costs more than residential
Specialist needs: Dementia units with secure gardens may charge extra
Facilities: Homes with pools, gyms or therapy rooms typically charge more

The Welsh Funding System: Key Differences from England

Wales vs England: What's Different?

In Wales:

Capital threshold is £50,000 (not £23,250 like England)
No upper capital limit for help with care costs
Different rules for property disregards
NHS Continuing Healthcare assessed slightly differently
Free personal care isn't means-tested for some services

This means more people in Wales can get help with care costs than in England. Even if you have savings over £50,000, you might still get some support.

Will You Qualify for Welsh Government Help?

The £50,000 Capital Limit Explained

Your local authority in Wales will assess your capital (savings, investments, and sometimes property):

Over £50,000 in capital:

You pay the full cost yourself
But you can still get advice and support from your local authority
They must still do a care needs assessment

Under £50,000 in capital:

The local authority will help with costs
You'll contribute from your income
You pay £5 per week for every £500 in capital between £24,000-£50,000

Under £24,000 in capital:

Maximum local authority support
You only contribute from your income
You keep a Personal Expenses Allowance of £35.00 per week

Understanding the Income Assessment

Even when the local authority helps, you'll contribute most of your income:

State pension
Private pensions
Benefits (except disability benefits)
Income from investments

You keep:

Personal Expenses Allowance: £35.00 per week
Enough to cover housing costs if you still have them
Half of any occupational/private pension (in some cases)

Your Property and Care Fees in Wales

The 12-Week Property Disregard

Wales has a special rule: your home's value is ignored for the first 12 weeks of permanent care. This gives you breathing space to:

Decide whether to sell
Arrange renting it out
Apply for a deferred payment
Explore other options

After 12 weeks, your property counts unless someone still lives there.

When Your Home Doesn't Count

Your property value is permanently ignored if any of these people still live there:

Your partner or spouse
A relative over 60
A relative under 16 you were caring for
Any relative who is disabled or incapacitated

This is more generous than England's rules and protects more family members.

Deferred Payment Agreements in Wales

Can't pay without selling your home? Welsh local authorities must offer deferred payments if:

Your home is worth more than your debt will be
Your other savings are below £24,000
Your property is insured and maintained

How it works:

The council pays your care fees
A legal charge is placed on your property
You repay when the property is sold
Interest is charged (rates vary by council)

NHS Continuing Healthcare in Wales

Understanding CHC in Wales

If you have complex health needs, the NHS might pay all your care costs - regardless of your savings. The Welsh system is similar to England's but with some differences in assessment.

The Welsh Checklist

You'll be assessed across these domains:

Breathing
Nutrition
Continence
Skin integrity
Mobility
Communication
Psychological/emotional needs
Cognition
Behaviour
Drug therapies
Altered states of consciousness
Other significant needs

To qualify, you need:

One or more 'Priority' needs, OR
Several 'Severe' needs, OR
Multiple 'High' or 'Moderate' needs that combine to create complexity

Getting Assessed for CHC in Wales

Request a checklist: Ask your GP, district nurse, or hospital discharge team
Initial screening: If you score above the threshold, you proceed to full assessment
Multidisciplinary assessment: Various health professionals assess your needs
Decision: Made by your Health Board, usually within 28 days
Appeals: If refused, you can request a review

Contact your Local Health Board:

Aneurin Bevan (East Wales): 01633 436700
Betsi Cadwaladr (North Wales): 01248 384384
Cardiff and Vale: 02920 335151
Cwm Taf Morgannwg: 01443 443443
Hywel Dda (West Wales): 01554 756567
Powys: 01874 712443
Swansea Bay: 01639 862862

Funded Nursing Care in Wales

If you need nursing care but don't qualify for full CHC, the NHS pays a contribution directly to your care home:

Current rate: £187.61 per week (2025)
Paid directly to the nursing home
Not means-tested
Your care home arranges this

This is less than England's rate (£219.71) but Wales has other support systems to compensate.

Benefits Available in Wales

UK-Wide Benefits

Attendance Allowance

For people over State Pension age needing care
Lower rate: £72.65 per week (daytime or nighttime help)
Higher rate: £108.55 per week (help day and night)
Apply: 0800 731 0122 or download forms from GOV.UK
Not affected by savings or income

Personal Independence Payment (PIP)

For working-age people with care needs
Daily living: £72.65 to £108.55 per week
Mobility: £28.70 to £75.75 per week
Apply: 0800 917 2222
Not means-tested

Pension Credit

Tops up low income for pensioners
Single: Guarantees £218.15 per week minimum
Couple: Guarantees £332.95 per week minimum
Apply: 0800 99 1234
Can open doors to other support

Welsh-Specific Support

Council Tax Reduction

More generous than England's system
Up to 100% reduction for low incomes
Empty homes: 50% discount (some councils offer more)
Contact your local council

Welsh Independent Living Grant

Helps with costs of independent living
Up to £800 for equipment or adaptations
Contact your local authority

The Means Test: Step-by-Step Explanation

Step 1: Initial Contact

Contact your local authority social services:

They must respond within 5 working days
You'll get a care needs assessment first
Financial assessment comes after care needs are established

Step 2: Care Needs Assessment

A social worker visits to assess:

What help you need with daily tasks
Your health conditions
Your mobility and safety
Your mental capacity (if relevant)
What outcomes you want to achieve

This determines if you qualify for local authority support at all.

Step 3: Financial Assessment

You'll need to provide:

Bank statements: Last 3 months for all accounts
Pension details: State and private
Investment documents: Shares, bonds, ISAs
Property information: Value and outstanding mortgage
Insurance policies: Life insurance with cash value
Debts: What you owe and to whom

Step 4: The Calculation

The council calculates:

Total capital (savings + investments + property if applicable)
Total weekly income
Allowable expenses (Personal Expenses Allowance, housing costs)
Your weekly contribution
What the council will pay

Step 5: The Decision

You'll receive:

Written confirmation of your contribution
Explanation of how it was calculated
List of suitable care homes within the council's price range
Information about appeals if you disagree

Paying Privately in Wales

Your Options Explained

Using savings and income:

Most straightforward option
Gives you complete choice of homes
No waiting for assessments
Consider financial advice for amounts over £100,000

Selling your property:

Average house price in Wales: £215,000
Could fund 4-5 years of care
Consider capital gains tax implications
Timing the sale is important

Renting out your property:

Generates regular income
Keeps the asset in the family
Need to factor in landlord costs
Must inform your mortgage provider

Equity release:

Access property value without selling
Stay owning your home
Interest compounds over time
Get independent financial advice

Immediate needs annuity:

Insurance product that pays care fees for life
Costs based on age and health
Provides certainty about costs
May not be cost-effective for everyone

Getting Financial Advice

Consider consulting:

Society of Later Life Advisers (SOLLA): Specialists in care funding
Age Cymru: 0300 303 4498
Citizens Advice Wales: 0800 702 2020
Independent Financial Advisers with care expertise

Understanding Top-Up Fees in Wales

When Top-Ups Apply

If the local authority funds your care but you want a more expensive home:

Someone must pay the difference
Usually family members (not you while council-funded)
Must be sustainable for your entire stay
Get the agreement in writing

Example Scenario

Council will pay: £800 per week
Your chosen home costs: £950 per week
Top-up needed: £150 per week
Annual top-up cost: £7,800

The council must offer you suitable alternatives within their price range before accepting top-ups.

Common Pitfalls to Avoid

1. Giving Away Assets

The problem: Transferring money or property to family to reduce your capital Why it fails: Councils can treat this as 'deliberate deprivation' The consequence: Assessed as if you still own the assets

2. Not Getting Proper Valuations

The problem: Underestimating property or asset values Why it matters: Affects your financial assessment The solution: Get professional valuations

3. Missing the 12-Week Disregard

The problem: Selling property immediately Why wait: First 12 weeks your home doesn't count The benefit: Time to make informed decisions

4. Not Claiming Benefits

The problem: Missing out on Attendance Allowance or Pension Credit Why it matters: Could be worth £5,000+ per year The solution: Always check eligibility

5. Choosing Based on Price Alone

The problem: Picking the cheapest home without visiting Why it matters: Quality of life for years to come The solution: Visit several homes, check CQC reports

Your Action Plan: 8 Weeks to Sorted

Weeks 1-2: Assessment Phase

[ ] Contact local authority social services for care needs assessment
[ ] Ask GP about NHS Continuing Healthcare if relevant
[ ] Start gathering financial documents
[ ] Check Attendance Allowance eligibility: 0800 731 0122

Weeks 3-4: Research Phase

[ ] Visit potential care homes
[ ] Get written fee quotes
[ ] Research CQC inspection reports
[ ] Complete financial assessment with council

Weeks 5-6: Decision Phase

[ ] Compare council funding with private costs
[ ] If self-funding, get financial advice
[ ] If using council funding, confirm their contribution
[ ] Arrange property valuation if needed

Weeks 7-8: Implementation Phase

[ ] Confirm funding arrangements
[ ] Set up payment methods
[ ] Arrange top-ups if needed
[ ] Confirm move-in date with chosen home

Getting Local Help in Wales

National Resources

Age Cymru Advice

Phone: 0300 303 4498
Expert advice on care and funding
Free, confidential service
Website

Care Inspectorate Wales

Phone: 0300 7900 126
Check care home inspection reports
Website

Carers Wales

Phone: 0300 772 9702
Support for family carers
Website

Local Authority Contacts

Each Welsh council has its own social services department:

North Wales:

Anglesey: 01248 752752
Conwy: 01492 575111
Denbighshire: 01824 706000
Flintshire: 01352 803444
Gwynedd: 01766 771000
Wrexham: 01978 292000

Mid and West Wales:

Carmarthenshire: 01267 234567
Ceredigion: 01545 570881
Pembrokeshire: 01437 764551
Powys: 01597 827460

South Wales:

Bridgend: 01656 643643
Cardiff: 029 2087 2087
Merthyr Tydfil: 01685 725000
Neath Port Talbot: 01639 763333
Newport: 01633 656656
RCT: 01443 425003
Swansea: 01792 636000
Vale of Glamorgan: 01446 700111

Valleys:

Blaenau Gwent: 01495 311556
Caerphilly: 02920 881000
Monmouthshire: 01633 644644
Torfaen: 01495 762200

Frequently Asked Questions

What's the main difference between Welsh and English care funding?

Wales has a £50,000 capital threshold (England: £23,250), making more people eligible for support. Wales also has a 12-week property disregard and different rules for whose presence protects your home from assessment.

Can I choose any care home in Wales?

With private funding, yes. With council funding, you can choose from homes within their price range. You can pick a more expensive home if someone pays the top-up.

What if I own property in England but need care in Wales?

You're assessed under Welsh rules if you're ordinarily resident in Wales. Your English property would count as capital after the 12-week disregard period.

How long does the funding process take?

Emergency admissions: temporary funding within days
Planned moves: 4-6 weeks for full assessment
NHS CHC: 28 days for decision
Appeals: varies, typically 6-8 weeks

What happens if I run out of money?

The local authority must take over once your capital drops to £50,000. You won't be asked to leave your care home. The council will reassess and start contributing.

Can my family home be protected?

Yes, if qualifying relatives live there (spouse, relatives over 60, disabled relatives, or children under 16). Otherwise, consider the 12-week disregard period and deferred payment options.

Are care fees tax deductible?

Generally no, but if you're registered blind or have certain conditions, you might claim tax relief on some care costs. Consult a tax adviser.

Making It Work Examples

House value: £180,000
Savings: £15,000
Weekly state pension: £185
Small occupational pension: £50 per week

Assessment outcome:

First 12 weeks: House ignored, savings under £24,000
Council contributes significantly
Mrs Davies pays from income minus £35 Personal Expenses Allowance
After 12 weeks: Applies for deferred payment
Family has time to decide about selling/renting
No immediate pressure to sell

This Welsh system gave more options and breathing space that wouldn't exist in England.

Ready to Take the Next Step?

Ashberry Healthcare's Welsh homes understand the funding system and can help guide you through it:

Blaenos House Nursing Home

Specialist dementia care in Llandovery
One of the only dementia specialists in West Wales

Allt Y Mynydd Nursing Home

17 acres in Brechfa Forest
Stunning Duar Valley views

Our teams can:

Explain costs clearly
Help with funding applications
Liaise with your local authority
Support NHS CHC applications
Arrange respite stays while you sort funding

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