Westminster Senior Citizens Forum

Following my talk to the Group in April last year, they have invited me back on 10 April to expand on the subject of Wills, Lasting Powers of Attorney, etc and to bring them up to date with the new Care Fee proposals.

Proposed Care Fee Funding Changes in 2017

The Department of Health anounced its proposals for how care fees will be funded after April 2017 on 11 February 2012.  The headline announcement was that indiviuals would only have to fund the first £75,000 of social care and the limit of capital above which an individual would have to fund all care fees would be increased from the current £23,250 to £123,000.

On the face of it this is all good news but digging deeper nothing will change very much - although the final small print has not been isssued.  The things to note are that the £75,000 cap only applies to social care - it does not include "hotel" costs such as accomodation and food, which can make up a large proportion of overall fees.  Raising the capital limit may not have much impact (apart from local authorites having to pay social care costs over £75,000).  

I have done some "sums" for a person with an income of £250pm and capital of £250,000 (a house/flat in the South East, say) who goes into a care home and pays £650pw but the local authority will only fund up to a maximum of £540pw.  Without going into the detailed calculations, the £75,000 cap will be reached after 5 years and it would take 25 years for the capital to be reduced to a level where the local authority will contribute towards other costs.  The average stay in a care home is under 5 years. So the indiviual would pay the same in care fees as he would do under the current arrangements, i.e. all of his care fees, and the hosue would need to be sold to pay for it (unless it is rented out or other measures taken to protect it). 

 Funeral Plans

I am now an agent fror Golden Charter funeral plans.  Pre pay and arrange your funeral now and take the pressure off your family when the time comes.
 

Wanstead Festival

I will have my usual stall at the Festival, this year on 12 August (a little earlier than usual). See the article and my advert in August's Wanstead Village Directory.

Talk

I will be giving a talk on Wills etc to Waltham Forest Older People's Group on 12 October at 1.30pm at St Gabriel's Church, Havant Road E17 3JF
 

White Paper on Care Funding

The White Paper this week doesn't really help those who don't want to lose their property to pay for care fees.  Currently most local authorities will allow the house sale to be put off until after death, without adding interest.  The new proposal is more or less the same, but with interest being added

The Government is still looking at a cap on fees, as per the Dilnot report (see below),  But the cap in that report was only on the "care" part of costs, not on the "hotel" part of costs.

Seminar  

The next Institute of Professional Willwriter's East/North London Region seminar that I will be organising will be in June and the main topic will be the training of Will writers. 
 

Westminster Senior Citizens Forum

I will be giving a talk on Wills and inheritance matters to Westminster Senior Citizens Forum at The Council House, Marylebone Road on 18 April at 2pm.
 

Carers' Education Group

I will be giving a talk on LPAs and other inheritance matters at Barkingside Library on 1 May at 11.30am, organised by Admiral Nurses as part of an 8 week Carers' Education Program.
 

Budget 2012

Not much of immediate interest for Wills and Inheritance Tax, unless you have offshore trusts.

No change to the Nil Rate Band, but increases after April 2015 (if any!) will be in line with CPI rather than RPI, i.e. probably lower.

There is a review of the intestacy laws, which are deemd to be somewhat out of date (not technically part of the  Budget).
 

Appointment

I am peased to announce that I have been appointed, with effect from 1 February 2012, to provide Wills and associated services for the clients of accountants Martin Cordell Services.
 

Talks

I gave a talk on Wills etc, organised by the Greater London Forum for Older People, at the Newham Stroke Club on 25 Jan 2012 and as a result I have been asked to repeat the talk at more venues around London.

Dilnot Report

The Dilnot Report, covering the future of funding for long-term care was issued in July.

Whilst recommending a lifetime cap on care costs, it still leaves fees to be paid for accomodation, food etc.  This could still leave sizeable  fees to be found, possibly only funded by the sale of a house.  Remember, for couples, this applies to both.

It is by no means certain that the report will be accepted by the Government.  Whether it is or is not, assets will still need to be protected, which can best be done by means of lifetime trusts.     

Remember a Charity Week 12 - 18 September

This year the Remember a Charity week is 12 - 18 Septmeber and I am happy to promote it.  In fact I am happy to promote Remember A Charity all year round.  if you are thinking of including a legacy to a charity in your Will please go to their website www.rememberacharity.org.uk