Attendance Allowance
This can be paid to people over the age of 65 who have a physical or mental disability that means they need help with personal care. Depending on the care required, there are two levels of financial assistance.
The payments are currently £72.65 or £108.55 a week (these amounts can change over time). You can apply on the person’s behalf and if your application is approved, the money is paid into their bank account – usually every four weeks. Attendance Allowance is not means-tested.
You generally need to be in Great Britain to be eligible, although there are some exceptions such as members of the armed forces.
For more information, visit https://www.gov.uk/attendance-allowance
Personal Independence Payment
If the person needing care is under state pension age, the equivalent of Attendance Allowance is Personal Independence Payment (PIP). PIP has two parts – a daily living part for help with everyday tasks and a mobility part if you need help getting around. Whether you receive one or both parts depends on how much support your loved one needs. There are currently two levels:
Daily living part:
Lower rate: £72.65 per week
Higher rate: £108.55
Mobility part:
Lower rate: £28.70 per week
Higher rate: £75.75
PIP is tax-free and the amount your loved one receives is not affected by their income or savings. It is usually paid into their bank account every four weeks.
If your loved one qualifies for the mobility part of PIP, they may also be able to receive a blue badge, vehicle tax discount or exemption and a Motability vehicle scheme where they can exchange their allowance for a wheelchair accessible car.
If you live in Scotland, you need to apply for Adult Disability Payment instead.
For more information, visit https://www.gov.uk/pip
Carer’s Allowance
If you care for your loved one for more than 35 hours per week, you could be eligible for Carer’s Allowance if they are receiving benefits such as Attendance Allowance or PIP. Your earnings need to be £151 or less per week after deductions. You can’t be enrolled in full-time education. Carer’s Allowance is currently £81.90 per week.
You’ll need to be providing the person with care such as helping with washing and cooking, taking the person to appointments and assisting with household tasks.
You’ll need to be living in England, Wales or Scotland to apply. In some areas of Scotland, Carer’s Allowance is known as Carer Support Payment.
For more information, visit https://www.gov.uk/carers-allowance
NHS Continuing Healthcare
This is a package of care for adults funded by the NHS that can be in any setting – in the person’s home or a care home. It is available in England, Wales, Scotland and Northern Ireland, though the details below may be different in Northern Ireland. It is intended for those with long-term complex needs.
If the person is eligible, this is free and not means-tested. The NHS will pay for services from a community nurse or a specialist therapist and associated social care needs such as personal care and domestic tasks.
For more information, visit https://www.nhs.uk/conditions/social-care-and-support-guide/money-work-and-benefits/nhs-continuing-healthcare/
Universal Credit
If your loved one is of working age, they may be able to receive universal credit to help with living costs. It is paid monthly.
It can be paid to those on a low income, those who are out of work or those unable to work due to a health condition.
To be eligible, your loved needs to have £16,000 or less in money, savings and investments.
It’s currently £617.60 per month for those aged 25 and over.
For more information, visit https://www.gov.uk/universal-credit
Employment and support allowance (ESP)
Again if your loved one is under working age and is unable to work due to their dementia. There are two types:
Contributory ESA – this replaced incapacity benefit and is for people with a disability or health condition that affects how much they can work. How much you receive is impacted by what you may receive from a private pension.
Income related ESA – this is means-tested and is gradually being replaced by universal credit.
For more information, visit https://www.gov.uk/employment-support-allowance
Council tax reduction or exemption
Your loved one may also be entitled to a council tax reduction or may even be exempt.
If they live alone, they may be exempt from paying council tax.
If they live with someone else, they may receive a 25 per cent discount, or their council tax band may be reduced to a lower band, so that they pay less.
To apply, you’d need to contact the person’s local council directly.
For more information, visit https://www.gov.uk/browse/housing-local-services/council-tax
Financial planning for the future
Your loved one’s local council has a duty to help you get independent financial advice so that you can plan for the person’s future care.
More Information
Citizens Advice or the local Age UK office in your loved one’s area may be able to help with advice.