Exempt Assets for Residential Care Fees

Certain types of capital and assets can potentially be disregarded indefinitely by the
Local Authority in a residential care fees assessment. 

We can help you sort out the legal side of things quickly, easily and at low cost.
Please call us for a free no obligation chat on 0800 3 10 11 12

Exempt Assets for Residential Care FeesWe at Seatons are legal specialists and offer a fast and friendly legal service with low sensible fees that provide exceptional value for money.

Although we are based in Northamptonshire, DISTANCE IS NOT A PROBLEM. We act for clients and help with their residential care fees protection across England and Wales.

So, whether you live just up the road, or a few hundred miles away then we can still help.

We are known as the friendly professionals and aim to provide you with an outstanding legal service.

We care about you and will work hard for your best interests to help resolve your legal problem quickly and easily.

Unlike a lot of other legal service providers, we are a genuine firm of solicitors and are fully insured and regulated by the Solicitors Regulation Authority.

We hope you find our website is helpful and informative and gives you the answers to your legal questions.

We also offer free legal guides that you can download.

Exempt Assets

Certain types of assets are fully exempt from a residential care fees assessment.

Capital That Is Disregarded Indefinitely

Certain types of capital and assets can potentially be disregarded indefinitely by the Local Authority in my residential care fees assessment.  These include:

  1. Personal possessions;
  2. Surrendering value of a life insurance policy;
  3. Capital value of an annuity;
  4. Capital value of an occupational pension;
  5. Value of a Reversionary Trust (Trust Fund not land);
  6. Value of a Life Interest (Trust Fund and land).

Personal Possessions

Personal possessions such as jewellery, paintings, antiques, cars and other personal possessions are exempt from assessment, unless the Local Authority believes they were purchased with the intention of deliberately reducing your capital.

Capital That Is Disregarded For a Specific Period

In some situations, capital may be disregarded for a specified time.  For example, during the first 12 weeks of a permanent stay in a care home.  If you are self-employed worker, business assets will be disregarded for stays of 26 weeks or longer.

Assessing Separate Bank Accounts

When considering income and capital, the Local Authority should only be looking at your own assets not of anybody else.  Only your share of any joint accounts will form part of your assessment.  Joint accounts will pass by survivorship on death of a joint owner, and severance of a joint tenancy is not classed as a deliberate deprivation.  Prior to any Local Authority assessment, joint accounts should be closed and separate new ones opened, and it is advisable to split financial resources and open separate bank and building society accounts as soon as possible.

Deliberate Depravation

If you convert your savings or other assets into “exempt assets” with a view to avoiding paying residential care fees then this will be treated by the local authority as a deliberate disposal or depravation and will be successfully challenged and the assets reclaimed.

Summary Of Exempt Assets For Personal Possessions

Check if you own any exempt assets –  If you hold any assets that are exempt make sure they are not taken into account when the Local Authority carry out an assessment.

Business Assets – Residential Care Fees Protection

If you own a business and can still take some small part in running that business then your business assets can be disregarded in any care fees assessment.

Self-employed Business Assets

As a general rule, the business assets are included in any Local Authority residential care assessment.  If you are resident in a care home and you can continue to provide key important business information and advice from the care home, even for a couple of hours each week, then those business assets can be for that period of time exempt.  Business assets will be disregarded for a reasonable period to allow them to be sold and disposed of.

Joint Business Assets (excluding land)

If any business assets (except land) are owned jointly with another person, then that person will be treated as owning their share equally and will be deemed to own one half of the business assets.

Joint Business Assets of Land and Buildings

If any business assets of land or buildings are owned jointly with another person then the value of the residents share in the land or buildings will be deemed as one half of the land or property, less 10% joint ownership discount.

Summary Of Exempt Assets For Businesses

If you are able to spend even a small amount of time helping to run the business (e.g.  a couple of hours a week providing key advice from your care home) then you may be able to claim that those business assets can be exempt.

Allow for a reasonable period of time to sell the business assets – The business assets will be disregarded for a reasonable period of time to allow them to be sold and disposed of.

Make sure that all properties and land owned jointly with another person are taken into account.

Residential Care Fees Protection

Protection From Residential Care Fees

Residential Care Fees Protection Video

Adrian Chambers - Seatons Solicitors

Residential Care Fees Protection Specialists

I’m Adrian Chambers and specialise in Residential Care Fees Protection matters. We aim to provide our clients with an outstanding legal service.

We will help and support you and most importantly we work hard for you.

Please contact us for a free, no obligation initial chat on 01536 276300 or contact us online.

Latest Articles About Care Fees

Carer Caught On Camera Slapping A Kettering OAP

Mrs Marsden, a Kettering woman, suffering from dementia has been caught on camera being assaulted by her carer in her own home.

Reclaiming Residential Care Fees

Many of our loved ones have been unlawfully required to pay for their residential care, usually out of hard earned savings or from their last remaining asset (their home) which they wanted to leave to others in their will.

A Different Approach To CHC Assessments

The introduction of the Care Act 2014 can assist families in the continuing fight for NHS funding.

Antipsychotic Drugs And CHC Assessments

If your relative is being given antipsychotic drugs for the treatment of Dementia or a psychological issue, this could influence their score in an NHS Continuing Healthcare assessment.

Why Use Seatons?

  • Practical sensible help and information
  • Fixed, competitive and affordable prices
  • We care about you and fight for you
  • Regulated by the Solicitors Regulation Authority
  • We can help resolve your issue quickly & easily

Download our FREE guide to

Residential Care Fees today

Free Guide To Residential Care Fees

COVID-19 Information

We are OPEN and would like to reassure our client's that it is business as usual and as a firm we intend on supporting our clients through this difficult time. Please note: Clients are requested to wear face masks when attending our office(s). As a precautionary measure to limit the risk to everyone our preferred communication is by telephone and/or email and/or post. We may take a little longer to respond to enquiries and deal with matters. Please bear with us in these unprecedented times.