At Bluebird Care, we understand that arranging live-in care for yourself or a loved one is a deeply personal decision. It can feel overwhelming, especially when navigating the financial aspects. While we are not financial advisers, we are here to offer some initial guidance on the options available in England that may help you fund live-in care.

Government Support for Care Funding

You or your loved one may be eligible for government support, depending on individual needs and financial circumstances. Here are some key funding options:

Personal Independence Payment (PIP)

PIP is a benefit for people aged 16 to 64 who need help with daily activities or getting around due to a long-term health condition or disability. It is not means-tested, so it is based on how your condition affects you, not your income or savings.

Attendance Allowance

For those over State Pension age, Attendance Allowance provides financial support to help with personal care if you have a physical or mental disability. Like PIP, it is not means-tested.

NHS Continuing Healthcare (CHC)

CHC is a package of care arranged and funded by the NHS for individuals with significant ongoing health needs. If you qualify, it could cover the full cost of live-in care. An assessment by your local Integrated Care Board (ICB) will determine eligibility.

Means Testing in England

Some types of support from local authorities are means-tested. This means your income and assets (including savings and, in some cases, the value of your home) will be assessed to determine how much you are expected to contribute toward your care.

As of the 2025/2026 financial year:

 If you have over £23,250 in savings or assets, you will usually need to pay for your care in full.

 If you have between £14,250 and £23,250, you may need to contribute from your income and a portion of your assets (currently assessed at £1 per week for every £250 above £14,250).

 If you have less than £14,250, your assets are not counted, and only your income is considered when calculating contributions.

Note: The value of your home is only considered if you are moving into residential care and no longer living in the property. It may be disregarded if, for example, a partner or dependent relative still lives there.

You can find out more and check eligibility by contacting your local authority or visiting the NHS and gov.uk websites.

Funding Care Privately

If you or your loved one are not eligible for government support or wish to supplement it, you may consider funding care privately. Here are some options:

Immediate Needs Annuity

This is a type of insurance policy that provides a guaranteed income for life to cover care costs. It is paid directly to the care provider and can be tax-free if paid this way. The cost depends on your age, health, and level of care needed.

Lifetime Mortgage (Equity Release)

A lifetime mortgage allows you to release equity from your home without needing to sell it. This can provide a lump sum or regular income to pay for care.

> Is it safe? 

Lifetime mortgages are regulated by the Financial Conduct Authority (FCA). Choosing a provider who is a member of the Equity Release Council adds an extra layer of protection.

> Can I release more money later? 

Some lifetime mortgages offer a drawdown facility, allowing you to access more funds in the future if needed.

> Can I move home?

In many cases, yes. Most plans are portable, meaning you can move and transfer the mortgage to a new property, subject to criteria.

> What happens if I move into residential care or pass away?

The loan is typically repaid from the sale of the property. Any remaining equity goes to your estate.

You're Not Alone

We know these decisions can be difficult, and every situation is unique. While we recommend speaking with a qualified financial adviser for personalised advice such as those assessed by SOLLA, our Bluebird Care team is always here to offer friendly, compassionate support as you explore your options.

If you have questions or would like to talk through your care needs, please don’t hesitate to contact us. We’re here to help, every step of the way.