Members of Cabinet will be asked to agree to seek the public’s views on 3 options designed to make our charging policy sustainable. If one of the options is eventually introduced, our policy would be comparable to those of other local authorities as allowed within the national charging regulations.
At at meeting on 15 June 2023, councillors will hear that Derbyshire’s current charging policy is unsustainable.
They will hear that under the Care Act 2014 we have a legal duty to assess anyone who requests support, regardless of their financial circumstances, to determine if they have any eligible social care needs.
If they are assessed as having eligible care needs they then undergo a financial assessment to work out how much they should contribute towards the cost of receiving that support depending on their level of capital.
Although national charging regulations are mandatory for people receiving care in a residential or nursing home – who would not be affected by these proposals – councils can decide how much to charge people who receive care and support in the community.
The report to be discussed says we have to date:
- set a limit of £50,000 in capital before someone has to pay towards their care in the community – the national limit is £23,250
- decided not to charge people being cared for in the community a tariff income – under the regulations people with capital between £14,250 and £23,250 can be charged £1 in every £250 as a contribution towards their community care costs
- set an upper limit of £51.07 - which is based on 75% of relevant benefits - on what people are asked to contribute. Research shows most neighbouring authorities charge people on 100% of their disposable income
The report to be discussed says we spend £148 million a year on supporting people in the community and under the current policy receives income of £8.7 million. The proposed changes would achieve fairness by bringing the community charging policy more closely in to line with the residential care charging policy and ensure adult care services remained sustainable as demand increases, it says.
Councillor Natalie Hoy, our Cabinet Member for Adult Care, said:
“We’re committed to supporting people to remain independent at home for longer but we must also ensure our adult care support is fair and sustainable.
“We’re having to consider making difficult decisions about how to continue delivering high quality services while managing external pressures on our budget.
"With demand increasing, we have to consider how we fund social care support to meet the needs of Derbyshire residents – now and in the future – while ensuring we continue to protect those people who need it most.”
Cabinet will be asked to consider consulting on 3 options:
Option 1
To change the charging policy for local residents receiving support in the community to:
- introduce the national capital limit of £23,250
- introduce the national tariff income of £1 in every £250 for those with capital between £14,250 - £23,250
- charge on 100% of disposable income with a £20 a week Disability Related Disregard (an extra weekly payment for people who incur extra costs related to their disability)
Option 2
To change the charging policy for local residents receiving support in the community to:
- introduce the national capital limit of £23,250
- introduce the national tariff income of £1 in every £250 for those with capital between £14,250 - £23,250
- charge on 90% of disposable income with a £20 a week Disability Related Disregard (an extra weekly payment for people who incur costs related to their disability)
Option 3
To change the charging policy for local residents receiving support in the community to:
- introduce the national capital limit of £23,250
- introduce the national tariff income of £1 in every £250 for those with capital between £14,250 - £23,250
- charge on 80% of disposable income with a £20 a week Disability Related Disregard (an extra weekly payment for people who incur costs related to their disability)
Under the proposals, people would also be asked for their views on our disability related expenditure process. All 3 options being considered for consultation include an automatic £20 payment for people who incur a cost due to long-term ill health or a disability. People would also be able to ask for an individual assessment to see if they were eligible for any additional expenses related to their disability.
Councillor Hoy added:
“With demand on our services rising, we are in a position where we have to consider consulting on changing our charging policy to make it fairer and ensure we can continue to support those who need us most.
“Please be assured that if Cabinet agrees to consult no decisions would be made about any changes until we’d heard everyone’s views and taken them fully in to account.”
If Cabinet agrees with the proposals, a 12-week consultation would launch on Monday 3 July 2023.
There are currently around 6,000 people in Derbyshire with eligible care needs who have undergone financial assessments to receive care and support in the community.