At a recent presentation, a representative of a care home explained how fees could range from £5,000 a month to £5,000 a week, with their own charges at the upper end.
Figures like these cause most people’s eyes to water, mine included, but this is the price of a setting, facilities and staff that are truly out of this world.
Aspirational, delightful living to the very end – seeing out one’s life in the most idyllic way – is exemplified by former UK prime minister Margaret Thatcher, who spent her final months living at the Ritz Hotel in London.
Knowing the system and accessing equity in one’s property – with the help of an experienced adviser – can deliver great outcomes
High-end care in your own home can be costly too, with some people paying more than £2,000 a week for live-in support. At these elevated levels, carer training programmes can even include familiarisation with British traditions, etiquette and manners, helping ensure the care recipient’s life still feels like how it always used to be.
Customs and technology have moved on in a big way, creating a world that is increasingly difficult to comprehend and navigate for many in their senior years. Being able to experience the world as you always have can offer a sense of security and comfort.
Online chat
All of this feels a long way from the conversations taking place on social-media platforms, where growing older can be portrayed as becoming a burden or facing the prospect of losing everything you’ve worked for.
Making sudden, emotional decisions about homecare or care homes can be overwhelming for loved ones
Dig a bit deeper – especially when led by algorithms – and the doom and gloom can take you down a road that encourages giving up access to your own capital. You may start thinking: I haven’t got enough for the best, so I may as well settle for the worst, so the next generations can benefit instead.
Loneliness of older clients renders them vulnerable to financial exploitation
Yet the better care homes can deliver exceptional lifestyle programmes, introducing residents to new passions and interests.
Meals may be cooked by qualified chefs and nutritionists, with plenty of colour on the plate. It is not unusual to see fresh, seasonal produce sourced from local farms that residents may know well. Just like the good old days – and how it should be.
Care at home
Most people, however, prefer to be cared for at home. With this as the goal, knowing the system and accessing equity in one’s property – with the help of an experienced financial adviser – can deliver great outcomes.
Sometimes, though, a protective trust gets in the way.
A son recently got in touch to ask about a lifetime mortgage for his mother, who needs to release equity from her prestigious property to meet rising care needs. Her home is held in a protective trust, which, while possible to unwind, brings complications and significant fees.
Government policy is not making planning for care any easier
I also know of someone who opted for round-the-clock hourly care with multiple carers. It cost £4,000 a week, but it was manageable because they had access to their capital.
Many people do not want to sit down and plan for the type of care they might desire. They hope they will depart quickly when the time comes, rather than linger in poor health, and they cannot bear the thought of losing their independence.
But conversations should be encouraged as early as possible, with wishes clearly written down – perhaps alongside a will. The subject becomes only harder to discuss with time; and, if health deteriorates, making sudden, emotional decisions about homecare or care homes can be overwhelming for loved ones.
Government policy
Government policy is not making planning for care any easier, either.
The chances of requiring long-term care are relatively small but, if you save too much for that possibility and never need it, prudence can feel penalised by inheritance tax. As a result, momentum has shifted towards having less in one’s estate in later years.
The doom and gloom can take you down a road that encourages giving up access to your own capital
With the number of over-85s predicted to double by 2045, conversations around ageing and how to deal with it are not going away. Better outcomes can be achieved by working with a financial adviser, who understands what is possible and what might inadvertently restrict access to money when it is needed most.
Aspirational conversations about getting older, and championing what our seniors truly desire, can change the later-life landscape for the better.
Mel Kenny is a chartered financial planner at Radcliffe & Newlands Wealth
