One in three people (34%) think their parents will need paid-for care later in life according to research by Opinium.
When asked whether their parents could afford it, 45% said they had enough in savings, and 30% said they would have to sell the house to pay care bills while almost one in ten (9%) said they’d have to pay for their parents’ care.
Sarah Coles, Personal Finance Analyst at Hargreaves Lansdown “One in three people think their parents will need some kind of professional care when they get older, and a third of this group thinks they’ll need to sell the family home to pay for it. Given the potential costs involved, it’s something we all need to plan for.”
“This cost is higher than most people imagine. Charges average £600 a week for residential care, or £800 for a nursing home. But if you’re in a more expensive part of the country or you have complex needs, you can easily spend £1,000 a week. A few hours of care at home each week can be much less expensive, but if you need live-in care, costs are between £1,000 and £2,000 a week. There’s a reason why, when talking about paying for care, one of the categories is ‘catastrophic costs’ (when the total hits £100,000 or more in your lifetime).”
“When asked how their parents could cope with the cost, the most common answer was that they would pay for it from savings (45%). But while this may well cover a few hours of care in their home, most people’s savings would struggle to pay £50,000 or £100,000 a year. It’s one reason why the second most common answer was to sell their home (30%).”
“More than one in ten said the council would have to cover the cost (13%). However, it’s essential to understand the circumstances under which the local authority will foot the bill – and what they’ll actually pay for. Meanwhile, almost one in five said they would have to pay for this care themselves (9%). Given the costs that can be involved, this is an enormous commitment.”