One of the first questions families ask about care at home is: how will we pay for it? The answer depends on the person’s needs, income and savings. This guide explains the main options in England for the 2026/27 financial year.
Step 1: Ask for a free needs assessment
Anyone who appears to need care and support can ask their local council for a free needs assessment, whatever their income or savings. The council looks at what help the person needs with daily life and whether they are eligible for support.
If you look after someone, you can also ask for a free carer’s assessment to see what support could help you.
Step 2: The financial assessment (means test)
If the person is eligible, the council carries out a financial assessment to work out how much, if anything, they should contribute. For 2026/27 the capital limits are:
- Over £23,250 in savings and capital: you will usually pay the full cost of your care yourself.
- Between £14,250 and £23,250: the council may help with costs, and you contribute from your capital and income.
- Under £14,250: your savings are not counted, though you may still contribute from your income.
For care at home, the value of the home you live in is not counted. The council must also leave you a minimum amount of income to live on.
Paying privately
Many people pay for some or all of their care themselves, either because their savings are above the limit or because they prefer to arrange care directly. Paying privately gives you full choice over your provider, visit times and the type of support you receive.
Ask any provider for clear, written pricing before care begins.
Direct payments
If the council agrees to fund some of your care, you can ask for direct payments. Instead of the council arranging care for you, it pays the money to you so you can choose your own care provider. This gives you more control over who visits and when.
NHS Continuing Healthcare
Some people with complex, ongoing health needs may be eligible for NHS Continuing Healthcare. If someone qualifies, the NHS pays for their care in full, including care at home. Eligibility depends on the person’s health needs, not their finances. A GP, social worker or hospital team can arrange an assessment.
Attendance Allowance
Attendance Allowance is a benefit for people over State Pension age who need help with personal care because of an illness or disability. It is not means tested, so savings and income do not affect it. For 2026/27 it is paid at:
- £76.70 a week (lower rate) for help during the day or at night
- £114.60 a week (higher rate) for help during the day and at night, or for people who are terminally ill
It can be spent however the person chooses, including on care at home. People under State Pension age may be able to claim Personal Independence Payment (PIP) instead.
Where to get help
Funding can feel complicated, but you do not have to work it out alone. Your local council, Age UK and Citizens Advice all offer free guidance. Rules differ in Scotland, Wales and Northern Ireland, so check locally if you live outside England.
Talk to us about care at home
Whether you are paying privately or receiving help with costs, Del Healthcare can talk you through the care you need. Get in touch with no obligation.
Figures are for England in the 2026/27 financial year and may change. This article is general information, not financial advice.
