TARIFF INCOME
Under the current rules for the calculation of
tariff income when funded by Social Services, the table below details the weekly amount payable
based on the value of an individual’s assets in England and Northern Ireland.
Capital |
Amount |
Capital |
Amount |
Capital |
Amount |
Up to |
|
18,000 |
£16 |
22,500 |
£34 |
| 14,250.01 |
£1 |
18,500 |
£18 |
23,000 |
£36 |
14,500 |
£2 |
19,000 |
£20 |
23,250.01 |
self funded |
15,000 |
£4 |
19,500 |
£22 |
Above £23,250
does not
qualify for State funding support |
15,500 |
£6 |
20,000 |
£24 |
16,000 |
£8 |
20,500 |
£26 |
16,500 |
£10 |
21,000 |
£28 |
17,000 |
£12 |
21,500 |
£30 |
17,500 |
£14 |
22,000 |
£32 |
In order to provide an income of £36 per
week from capital of £9,000 (i.e £23,250 less £14,250)
would require a net investment return of over 20% per annum!
This is clearly significantly above the rates of
return which can be expected on a regular and consistent basis and
therefore erosion of capital will occur in meeting this requirement.
CareAware would strongly recommend that specialist
advice is taken to minimise the effect of this situation.
Rates for Scotland will differ due to the different upper and lower capital limits and Wales operates a single limit of £22,000.
|