Adult social care plans and policies

Adult Social Care provides transport through a variety of options to people with learning disabilities, mental health problems, physical disabilities and older people across North Northamptonshire.

This policy outlines how North Northamptonshire Council will move towards a consistent and equitable way of supporting older people, adults with disabilities or mental ill health in the provision of North Northamptonshire Adult Social Care funded transport.

This policy is also being introduced as there is an aim to move away from people attending day centres at fixed times, to activities taking place in the community, at locations and times chosen by the service user. This policy supports those changes.

The provision of adult social care is aimed at promoting the maximum possible independence for the service user. In extending this principle to the provision of transport, this policy sets the criteria independent travel arrangements, privately funded transport or whether North Northamptonshire Council arranged and funded transport assistance is necessary.

This policy rests upon a general assumption and expectation that wherever possible, service users will meet their own needs for transport to access and take advantage of services, or support to facilitate them.

Transport is a means of accessing other services or support. The overriding principle is that the decision to provide transport is based on a person’s individual circumstances including: needs, risks, outcomes and on promoting independence.

Funded transport will only be provided if, in the opinion of the assessor, there is no alternative and appropriate transport available (be it personal, with the assistance of family and friends, or public transport) and it is the only reasonable means of ensuring that the service user can be safely transported to an assessed and eligible service.

Scope

The assessment of need forms the basis on which Adult Social Care responds to requests for assistance and is concerned with exploring a person’s presenting needs and determining their eligibility for services. The provision of transport will only be considered in relation to meeting the needs of adults aged 18 years and over who, have been assessed as eligible for services or support from Adult Social Care. As part of the Assessment and Care Planning process, the need to attend a community service or to pursue other activities away from the service user’s home may be identified. The need for transport to any community service or activity service must be part of the person is eligible for a service in accordance with the national eligibility criteria set out in the Care Act 2014.

For information regarding the travel provision in place for young adult learners aged 19 to 25 in respect of whom the authority has carried out a learning difficulty assessment (LDA) or have issued an Education, Health and Care (EHC) plan, please refer to the Post 16 Education Travel Scheme Policy.

Where an individual is provided with a Personal Budget or requests a Direct Payment to meet their assessed needs for care, the same principles will apply as to those people opting to receive support directly from Adult Social Care. The cost of transport will only be included in the Personal Budget or Direct Payment where no other suitable alternative is available and it is considered that the service user is eligible for this support.

Policy outcomes

This policy aims to reflect national and local priorities whilst underpinning arrangements for access to and the provision of North Northamptonshire Council funded day opportunities. The policy is based upon:

• promoting independence
• maximising choice and control
• supporting a healthy lifestyle
• improved quality of life
• maximising dignity and respect
• the provision of local accessible services and support

Adult Social Care transport policy

Legal Framework

Adult Social Care has a legal duty to provide transport to service users who are eligible for social care support in certain circumstances. The Care Act 2014 sets out that duty as follows: ‘The national eligibility criteria set a minimum threshold for adult care and support needs and carer support needs which local authorities must meet. All local authorities must comply with this national threshold’.

The Act details that ‘Local authorities should consider the adult’s ability to get around in the community safety and consider their ability to use such facilities as public transport, shops or recreational facilities when considering the impact on their wellbeing’.

The responsibilities of local authorities are clearly set out with regard to carers and their assessment.

Strategic links to Local and National Priorities and plans

The policy context is reflected by local and national priorities and plans which are set out in several key documents: ‘Our Health, Our Care, Our Say (2006) which gives a framework for Adult Social Care to achieve a fresh approach in the delivery of all community-based services and outlines that services need to centre on the person, promote increased choice and control, be flexible and responsive, promote a healthy lifestyle with an emphasis on maintaining a person’s independence.

The policy also supports priority 3 ‘Promoting independence and quality of life for older adults’ of the Northamptonshire Health and Wellbeing Strategy 2016 - 2020.

Putting People First, Transforming Social Care (2007) sets out the shared aims and values which will guide the transformation of Adult Social Care, which consists of 4 themes:

• facilitating access to Universal Services - ensuring support and services are available to everyone locally including things like transport
• building social capital building a society where everyone has the opportunity to be part of the community and experience the support that can come from family and friends
• prevention and early intervention supporting people to stay independent for longer
• choice and control developing self-directed support and ensuring that services/support can meet people’s needs.

Valuing People A strategy for Learning Disability sets out the Government’s commitment to improving people's lives, based on rights, social inclusion, choice and independence.

Valuing People Now (2009) sets out the priorities for Learning Disability Services. The main priorities are personalisation, so that people have choice and control, increased opportunities for daytime and evening activities and inclusion in their communities.

The policy is also in alignment with the ASC strategy 2019/22 where there is a focus on independence and wellbeing for Northamptonshire residents.

Principles

The overarching principle is that as part of the council’s commitment to inclusion and independence, individuals who can travel to a community activity, either independently or with assistance from family, friends or support providers will do so. Adult Social Care will facilitate the signposting towards appropriate transport options.

People who receive higher rate disability allowance and those who qualify for concessionary travel assistance such as: bus passes, Blue Badges, Motability Vehicles and Taxi Cards will be expected to apply and use this as and when appropriate according to assessed needs.

Before providing transport assistance, a principle of reasonableness will be adopted i.e. an exploration will be undertaken in any given situation as to whether it is reasonable to expect individuals to make their own arrangements, all transport options have been examined and the outcomes have been identified and evidenced.

Following an assessment of need, council funded transport will only be provided to meet an eligible assessed need. The transport provided will be appropriate for that need, will provide value for money and be cost-effective.

Transport provided by, or on behalf of, the council will encourage the use of sustainable modes including public transport, shared transport and electric vehicles to reduce air pollution within Northamptonshire.

Eligibility and guidance in determining the need for transport

The decision to provide assistance with transport will follow consideration of the existing (non-council funded) transport options that are available. An assessment of the risks associated with using non-council funded transport will be part of the support planning process. The purpose of transport should be clearly stated on an individual’s Support Plan.

In general, this Policy is based on the assumption that service users will travel independently except where assessment shows that this is not possible. The test used in the assessment should be ‘what will happen if Adult Social Care does not provide transport’ (i.e. are there other ways in which the service user can reasonably be expected to attend services or support making their own arrangements to get there). The provision of funding for transport should only be considered if the service user has needs categorised in accordance with the national eligibility criteria set out in the Care Act 2014.

Assessment of eligibility, for the provision of transport assistance, will be undertaken in consideration of:

• the Care Act 2014
• the availability of existing transport
• the ability of a person to travel independently with regard to their physical mobility and other factors that may introduce risk including conditions that will lead to the deterioration of a person’s ability to travel without assistance

Availability of existing transport

Council funded transport will not be provided to service users if:

1. They have their own “Motability” vehicle which they drive themselves. In this instance, there will be consideration of whether it is reasonable to expect that the service user will use that vehicle to travel to the location of the day opportunity.
   
   If it is unreasonable, the appropriateness of the provision of a Motability vehicle should be questioned and alternative available transport provision (points 2 to 4) considered.
    
2. They have a “Motability” vehicle of which they are not normally the driver themselves. Similarly, there will be consideration of whether it is reasonable to expect that the service user will use that vehicle to travel to the location of the day opportunity.
   
   If it is unreasonable, the appropriateness of the provision of a Motability vehicle should be questioned and alternative available transport provision (points 3 to 4) considered.
3. They have carers e.g. neighbours/ family / friends who can transport them. Please note that where it is identified that a carer will provide transport the assessor must be able to demonstrate that the impact of this has been appropriately considered in an assessment of the carer’s needs. Where it is concluded that the carer cannot provide transport because it would place an unreasonable demand on them, alternative available transport provision (points 4 to 5) must be considered.
   
   Where carers or friends have been identified as being able to provide transport, alternative arrangements should be detailed in a contingency plan to cover periods where they are unable to do so.
4. They have a taxi card which they can use to attend the day opportunity and where its use for attending a day activity does not result in an additional unmet need (e.g. shopping can no longer be undertaken). In such cases, or where a service user’s ability to use the taxi card may present an unreasonable level of risk please refer to point 5.
5. They have a bus pass which they can use to attend the day opportunity. In cases where a Service user’s ability to use the bus pass may present an unreasonable level of risk - please refer to point 6.
6. Transport methods which support social interactions, contributing towards positive health and wellbeing will be encouraged as preferred methods as necessary e.g. using travel buddies, shared taxis and council vehicles.

Where it has been established that no existing transport provision is available, or its use may introduce unreasonable levels of risk to a person when travelling independently (‘travelling independently’ means being able to travel without council funded transport), an assessment will be undertaken.

The assessment will be undertaken in consideration of the proposed method of transport (for instance, a person travelling on a bus will need a higher level of communication, understanding and mobility than a person travelling ‘door to door’ in a taxi) and will follow the principles set out in the Care Act 2014.

The assessment will include:

• mental capacity
• communication difficulties
• psychological factors e.g. mental health, dementia, agoraphobia
• vulnerability including the impact of past experiences
• consideration of degenerative conditions
• any other factors that may affect personal safety

and issues regarding mobility such as:

• ability to walk outside
• requirement for wheelchairs or other walking aids
• ability to enter and leave a property
• ability to get in and out of a vehicle
• history of falls
• ability to use stairs
• degenerative conditions

The assessor will use this information to determine whether the service user:

1. is capable of travelling independently on the proposed method of transport without an unreasonable level of risk - where appropriate, walking or mobilising with the use of aids either independently or with support will be encouraged to support improving mobility, increasing physical activity levels, improving mental health and utilise transport assistance costs
2. requires some training, support or assistance that will enable them to be capable of travelling independently in the near future
3. is not capable of travelling independently on the proposed method of transport and will therefore recommend a method of council funded transport that is appropriate to their needs

Identification of appropriate transport

Once eligibility has been confirmed via assessment as detailed above, it will be the duty of Adult Social Care to facilitate appropriate transport arrangements. Directly provided transport services will be provided only once other alternatives have been considered and ruled out.

The range of transport assistance may include:

• assistance with using public transport (e.g. travel buddies)
• use of a Motability vehicle funded from higher rate mobility component of Disability Living Allowance
• taxi journey shared with other clients
• taxi solely for the use of the client
• transport in council funded vehicles (e.g. minibuses)

Resources from Adult Social Care are unlikely to be allocated specifically to meet transport related needs where an individual:

• receives the higher rate mobility component of the Disability Living Allowance (DLA) or Personal Independent Payment (PIP), the purpose of which is to assist those who have mobility problems, with severe difficulty walking or who need help getting around out of ;doors. Under normal circumstances, no one in receipt of the higher rate mobility allowance would receive funded transport, unless there are factors limiting their ability to fully utilise the benefits of the allowance e.g. geographical location, the nature of the disability, wheelchair type or carer support requirements. The support plan will determine the level of support offered in these circumstances as part of the assessment process.
• The Social Security Contributions and Benefits Act 1992 section 73(14) states that while social services authorities are empowered but not obliged to charge for such transport services, in assessing a person’s ability to pay, their mobility component of DLA or PIP if received must be ignored.
• Lives in a registered residential care home as these are subject to the terms and conditions of the contract between the council and the care home. However, if the individual is assessed as having the ability to travel independently, or with minimal intervention, the care home will make provision to support independent travel if they are responsible for transport arrangements. If the individual is a tenant in extra care housing, supported accommodation or an adult placement scheme, they will be subject to the same assessment and care planning arrangements as people living in their own homes or with relatives. In some circumstances the cost of the placement covers the full range of support needs, including transport, to attend community activities including college.

There is no single definition of what is a reasonable distance/time to access day opportunities that meet social care needs. An assessor should be able, having information about an individual’s abilities and the transport options available, to define 'reasonable' for that individual. It will be for each person to decide how far they are willing to travel to extend their choice but if they choose to access a service further than one capable of meeting their assessed need, they will be required to fund the additional transport cost from their own resources.

The time taken to travel to the service destination or the cost of alternative means of transport should also be taken into account by the assessing officer as these may be prohibitive for the individual.

Geographical isolation may be a factor in an individual’s ability to access day opportunities outside the home. People living in rural or outlying areas of North Northamptonshire may experience additional barriers in terms of the frequency and number of buses they are required to use, or the prohibitive cost of taxi fares. The availability of alternative accessible and affordable means of transport must be considered when assessing an individual’s ability to travel independently.

Where the individual is reliant on a relative or other carer to drive a Motability car, consideration will be given to supporting carers' respite needs, including enabling them to work. If an individual or carer makes the decision that the Motability vehicle will not be used for the intended purpose the onus must be on the individual or carer to make alternative appropriate arrangements.

Implementation

This revised policy will be applied from 1 April 2021 to any new adult social care service users and replaces the Northamptonshire Adult Social Services (NASS) policy which came into effect on 1 October 2019.

It is not currently intended to retrospectively apply this policy to any service users in receipt of transport before the policy implementation date stipulated. ASC in the North will review people’s transport arrangements as day services change and are modernised.

Monitoring, review and reassessment

Travel arrangements and any impacts this policy has had on the ability of vulnerable people to access appropriate services to meet their eligible social care needs will be considered by assessing officers at a review or reassessment of the individual’s needs.

An individual or their authorised representative can request a review of their social care assessment if at any time they consider their needs have substantially changed.

At any time in this process, the individual or their representative can make a complaint under North Northamptonshire’s Complaints Procedure.

Appeals

There may be instances where some applications are declined and the service user or their carer may not agree with our decision. In these cases, we offer an appeal process. Details of the appeals process can be obtained by liaising with the Complaints team.

Complaints

North Northamptonshire welcomes and responds positively to all comments, compliments and complaints as a means of demonstrating its commitment to working in partnership with individuals and carers.

There are many ways to contact us. The easiest way is to contact us online. This is best as you get an instant summary of what you’ve told us, updates about your case and we’ll email you back with our reply.

• Phone us on 0300 126 3000 between 9am and 5pm
• Email us at [email protected]
• Write to us at Compliments, Comments and Complaints, North Northamptonshire Council, Sheerness House, 41 Meadow Road, Kettering, NN16 8TL
• Ask your local Councillor to raise it for you - you can find this out online or contact us as above and we will tell you

Introduction

This is a policy document for citizens and employees of North Northamptonshire Council (NNC), which governs how the Council administers the Universal Deferred Payment Scheme for adults with social care needs in the county. This policy brings together and consolidates good practice and incorporates values and principles that underpin the Councils work with adults.

Scope

The process of determining eligibility to offer a Deferred Payment Agreement is linked to the national standard eligibility criteria for social care for a permanent residential or nursing care placements and the financial assessment process, which are also governed by the Care Act 2014.

This policy is based on the principles of the Universal Deferred Payment Scheme as set out by Government and will remain in place until such time as the Department of Health and Social Care issue further guidance or updates on the Care Act 2014, at which point this policy will be reviewed and amended to reflect national guidance.

Policy outcomes

This Deferred Payment Agreement (DPA) Policy establishes how North Northamptonshire Council applies the Universal Deferred Payment Scheme in North Northamptonshire under the Care Act Statutory Regulations 2014.

Adult Social Care Deferred Payment Agreement policy

Deferred Payment meaning

A deferred payment is a financial arrangement with the council, usually following a 12-week property disregard period, where applicable, which allows a customer in permanent residential or nursing care to delay the costs of their social care until a later date.

An agreed deferred payment with NNC can help delay the need for a customer to sell their home, giving more peace of mind to focus on the transition into permanent residential care.

The agreement is a contractual arrangement between NNC and the customer based on deferring some of the customer costs of care against the value of their home. This offers flexibility for the customer to sell their home when they choose to do so.

This financial arrangement means the customer payment for care costs is deferred and not ‘written off’. The costs of provision of care and support will have to be paid by the individual (or a third party on their behalf) at a later date.

The arrangement is available to a customer who meets the deferred payment eligibility criteria as detailed within this policy.

Types of Deferred Payment

Deferred payment agreements can take 2 forms:

• The Council pays the care home directly and defers the charges due to it from the individual (traditional type)
• The individual pays the care provider for their care and the local authority loans them the cost of care in instalments less any contributions the individual contributes from other sources (loan type)

Legal framework for this policy

Section 34 (Deferred payment agreements and loans), Section 35 (Deferred payment agreements and loans: further provision) and Section 36 (Alternative financial arrangements) of the Care Act 2014 places a duty on local authorities to offer a deferred payment to a person who meets the deferred payment eligibility criteria as outlined within the Act. NNC has discretionary powers, as per the Act, to add additional considerations to the eligibility criteria for a deferred payment agreement. These are identified within this policy document.

Principles of this policy

Fairness: the policy will be applied consistently to all adults eligible for social care and support, so that everyone is treated fairly and equitably. For those who are not eligible for services and support, we will offer signposting and information.

Transparency and clarity: the policy will be set out in a clear and straightforward way so that everyone can understand how deferred payment agreements are administered, will know what costs are involved at an early stage in the process, and be able to judge whether or not the policy has been applied correctly in their individual case.

Empowerment: the policy supports the overarching goal of the Council to support people to have more choice and control over their resources and the way these are utilised.

Information and advice on Deferred Payments

When making a decision to commit to any financial product or arrangement, it is very worthwhile for a customer to consider the information and advice that is available, to help inform the decision making process. Independent financial advice should be sought by a customer before making decisions about their financial future, which includes the consideration of a deferred payment scheme. NNC will offer guidance to a customer on how to access independent financial advice and inform them of the existence of regulated financial advice.

Carers and families will often assist a person in making decisions about how they pay for their care. NNC will provide carers and families with the same information on deferred payments as would be provided to the person they care for.

NNC will also, where appropriate, invite carers and families to participate in discussions on deferred payments, subject to the consent of the person with social care needs or someone else with appropriate authorisation. NNC, where appropriate, will provide a person with information and advice on options for deputyship, legal power of attorney and advocacy.

Further information on the deferred payment scheme provided by NNC is available through the NNC website. This information will also be available in alternative formats on request.

Mental capacity for Deferred Payments

The law works on the principle that everyone is assumed to have capacity to make decisions for themselves if they are given enough information, support and time. It protects their right to make their own decisions and to be involved in any decisions that affect them.

A Customer’s capacity must be judged according to the specific decision that needs to be made, even though someone may be making what seems to be an unwise decision (even if they have an illness or disability) this does not necessarily mean they lack capacity. There are legal safeguards that must be followed when making a decision on behalf of someone who lacks the capacity to make the decision and a person is unable to make a decision if they cannot:

a) Understand the information relevant to the decision.
b) Retain that information.
c) Use that information as part of the process of making the decision, or communicate the decision.

If the mental capacity of the client is in doubt, then a person who has a Lasting Power of Attorney (or an Enduring Power of Attorney), which includes authority to make such decisions for them, may request a deferred payment on behalf of the customer.

Where a family member requests a deferred payment and they do not have the legal power to act on behalf of the client, NNC will signpost the client and family members to appropriate information and advice on how to obtain this legal power, which can be through a Deputyship.

If a person, who may be a family member or carer, cannot act as an advocate for the client and where there is no intention to register for a Deputyship, or the holder of the LPA can no longer undertake the role, then an independent advocate must be provided and a Court of Protection order considered.

When to offer a Deferred Payment

NNC must offer a Deferred Payment to an individual who has their permanent residential or nursing care arranged by the Local Authority and also an individual who arranges and pays for their own care at the point of applying for the Deferred Payment subject to the following criteria:

a) Where an individual’s assessed social care eligible needs are to be met by the provision of permanent residential or nursing care.
b) Where an individual has less than £23,250 in assets (excluding the value of their home) i.e. savings and other non-housing assets.
c) Where the home is not occupied by a spouse or dependent relative as defined in regulations on charging for care and support. i.e. someone whose home is taken into account in the Council s financial assessment and might need to be sold.
d) Where NNC is satisfied that there is adequate security in order to secure the Deferred Payment debt. i.e.1st charge on the property, and the property is registered at Land Registry.

When a Deferred Payment can be considered

NNC can also exercise its discretion and may offer Deferred Payments to individuals in permanent residential or nursing care, who do not meet all of the deferred payment eligibility criteria above.

Examples of when NNC may exercise its discretion on a case-by-case basis:

a) Where a person has assets which cannot be realised quickly and converted to cash.
b) Where a person would like to use the wealth tied up in their property to fund more than just their core care costs and purchase affordable ‘top-ups’.
c) Whether an individual has any other accessible means to help meet their care fees and they are narrowly not eligible given the criteria in section (8.1.1).
d) The Council can also consider applications for Deferred Payments where a person is renting their Supported Living or Extra Care Accommodation and they still own their previous main residence.

(The above is not an exhaustive list of examples)

Where we may refuse a request for a Deferred Payment

NNC may refuse a request for a Deferred Payment, even if a person meets the deferred payment eligibility criteria and NNC would otherwise be required to offer the person an agreement. The consideration to refuse is in accordance with the Care Act. This permission to refuse is intended to provide NNC with a reasonable safeguard against default or non-repayment of debt.

Circumstances where NNC may refuse a Deferred Payment Agreement include:

a) Where NNC is unable to secure a first charge on the property e.g.:

• unregistered property
• non-agreement by joint owners
• mobile homes
• some leasehold property
• property abroad
• uninsurable property
• property with a mortgage charge attached

(The above is not an exhaustive list of examples)

b) Where someone is seeking a top up that is unsustainable.
c) Where a person does not agree to the terms and conditions of the agreement, for example a requirement to insure and maintain the property.
d) A deferred payment agreement cannot be entered into in order to finance mortgage payments on Support living accommodation.
e) Where a person wishes to defer an amount larger than they can provide security for.

Where we may stop deferring care costs

There are also circumstances where NNC may refuse to defer any more charges for a person who has an active deferred payment agreement. NNC cannot demand repayment of previously deferred charges in these circumstances, and repayment is still subject to the usual terms of termination, as set out in section 12.4 to this policy document.

Circumstances where NNC may refuse to defer any more charges may include:

a) When a person’s total assets fall below the level of the means-test, and the person becomes eligible for local authority support in paying for their care.
b) Where a person no longer has need for care in a care home (or where appropriate, supported living accommodation).
c) If a person breaches certain predefined terms of their contract and NNC’s attempt to resolve the breach is unsuccessful, the authority may stop making further payments in such a case as per the agreement.
d) If, under the charging regulations (see Chapter 8, Charging and financial assessment, of the Care Act Statutory Guidance), the property becomes disregarded for any reason and the person consequently qualifies for local authority support in paying for their care, including but not limited to:

• where a spouse or dependent relative (as defined in Chapter 8, Charging and financial assessment, of the Care Act Statutory Guidance) has moved into the property after the agreement has been made, where this means the person is eligible for local authority support in paying for care and no longer requires a deferred payment agreement; and
• where a relative who was living in the property at the time of the agreement subsequently becomes a dependent relative (as defined in Chapter 8, Charging and financial assessment, of the Care Act Statutory Guidance). The local authority may cease further deferrals at this point.

NNC should not exercise these discretionary powers if a person would, as a result, be unable to pay any tariff income due to the local authority from their non-housing assets.

NNC must also cease deferring further amounts when a person has reached the ‘equity limit’ that they are allowed to defer (see section 10.6 of this policy document); or when a person is no longer receiving care and support in either a care home setting or in supported living accommodation. This also applies when the value of the security has dropped and so the equity limit has been reached earlier than expected.

NNC will provide a minimum of 30 days advance notice that further deferrals will cease; and should provide the person with an indication of how their care costs will need to be met in future.

The Deferred Payment process at NNC

Usually during the financial assessment for a 12-week property disregard the deferred payment application process will be discussed and an application form provided to the customer for them to apply for this arrangement. The completed application will need to be returned to the Financial Assessment team within 14 days for consideration.

If the application is returned later than 14 days then the application will be delayed and the customer may be required to meet the full cost of their placement until the application has been approved.

As part of the application process, a formal valuation may be arranged by the local authority for your property.

If the application is not accepted, a letter will be sent to the customer stating the reasons for refusal. NNC operates an appeals process for decisions made by the local authority. See section 14 of this policy document for further information.

If the application is accepted, the customer will receive an agreement and acceptance letter for which they will need to sign and return to NNC. The customer must return the signed agreement within 14 days.

Once the signed agreement has been returned, a charge will be placed against the property with the Land Registry. The purpose of this charge is to ensure that the property cannot be sold without the knowledge of NNC and the account being settled in full.

How much can a person defer

A person should in principle be able to defer the entirety of their care costs (subject to any contribution required from the person’s income) NNC will need to consider both security and sustainability:

• Can adequate security be provided for the deferred payment agreement? This requirement for ‘adequate security’ will be fulfilled by securing the deferred payment agreement against a property
• Is the amount or size of the weekly deferral requested sustainable given the intended length of deferral and equity available to repay i.e. will the care costs mount up over time to be more than the security available to repay?

Three elements will determine how much a person may need to defer:

a) The amount of equity a person has available in their form of security.
b) The amount a person is contributing to their care costs from other sources, including income, savings or a third-party.
c) The total care costs a person will face, including any top-ups the person might be seeking.

The equity limit

In line with the Care Act Statutory Guidance, NNC sets an ‘equity limit’ for the agreed type of security (see section 10.11 for further information on obtaining security), for the total amount that can be deferred. The equity limit will ensure that some equity remains within the security to be used for the deferred payment agreement, acting for both as a buffer to cover any subsequent interest payments and to provide a safeguard in case of any small variations in value of the security.

If the person intends to secure their deferred payment agreement with a property, NNC will require an independent valuation of the property to be provided.

Where a property is used as security for a deferred payment agreement, the equity limit is set at:

a) The value of the property.
b) Minus ten percent.
c) Minus the lower capital limit (for financial year 2024/25, this will be £14,250).

NNC will, when a person is approaching the point at which they have deferred 70% of the value of their security, review the cost of their care with the person. NNC will discuss:

a) When the person might be eligible for any means tested support.
b) The implications for any top-up they might currently have.
c) Consider jointly whether a deferred payment agreement continues to be the best way for someone to meet these costs.
d) The possibility of re-valuing the security (see section 10.8 for further information).

NNC will not allow additional amounts to be deferred beyond the equity limit, and will refuse to defer care costs beyond this. Interest may still accrue beyond this point, and administrative charges may still be deferred.

Property valuation

Where an individual intends to secure their deferred payment with a property, NNC will require a valuation of the property that will usually take place during the 12-week property disregard. NNC can instruct an appropriate professional to provide a current market valuation, there will be a cost applicable for this service.

The value of the property or security will be reviewed or re-valued as follows:

a) On an annual basis from the date of the original valuation and
b) When the amount deferred is between 50% to 70% of the value of the security to assess any potential change in the value (and consequently the person’s ‘equity limit’ should be reassessed in turn.) After this revaluation, NNC will revalue the security periodically to monitor any potential further changes in value. If in either case there has been any substantial change, the local authority should review the amount being deferred as well, as set out in the section 10.6 of this policy document, or
c) More frequently if individual circumstances deem necessary.

Where a property is being considered as the form of security for a deferred payment, the customer will need to consider how they plan to use, maintain and insure the property if they would like to take out a deferred payment agreement with NNC. Consideration should be made by the customer for how to rent out the property, prepare it for sale, or to leave it vacant for a period of time. NNC will signpost people to more specialist organisations who can provide further advice, for example, information about their legal responsibilities as landlords and their obligations to any potential tenants.

Financial contribution

The share of care costs that a person intends to defer will be determined based on the amount they will be paying from income or other sources. A person may also contribute from payments by a third party (including any contributions available from a financial product) or from their savings. The sustainability of a person’s contributions from their savings should be considered.

Contributing to care costs from another source would be beneficial for a person as it would reduce the amount they are deferring and this would reduce their overall debt to the local authority. However, NNC must not compel a person to contribute to their care costs from these sources.

NNC will require a contribution towards fees from a person’s income, but will not leave the person with less than the disposable income allowance of £144 per week (2024/25 allowance). A person may choose to keep less of their income than the disposable income allowance should they wish, this will be in line with the statutory Personal Expense Allowance and will not be less than £30.15 per week (2024/25 allowance).

If a person decides to rent out their property during the course of their deferred payment agreement, NNC may permit that person to retain a percentage of any rental income they possess.

Care home costs (top-ups)

Where a customer meets the deferred payment eligibility criteria and NNC is able to offer a deferred payment agreement, NNC will allow someone the opportunity to defer their ‘core’ care costs.

Before considering the deferred payment scheme through NNC, a customer should have an understanding of what their likely care costs will be. If a customer is considering residential or nursing care accommodation, which is above the agreed rate with the commissioned providers for NNC (therefore above the Expected to Pay Rate - EPR), the customer may wish to consider a top-up (which can be through a third party payment) in order to meet their preferred accommodation option.

Therefore, in choosing to make a top-up to ‘core’ costs, a customer would need to make additional payments in order to meet the costs of the preferred accommodation option.

The deferred payment scheme at NNC can consider the option for a customer to defer their full care costs, which can include any top ups for the preferred accommodation option.

NNC will consider requests for top-ups, but have the discretion whether or not to agree to and the amount of a given top-up. NNC should accept any top-up deemed to be reasonable given considerations of affordability, sustainability and available equity within the security for the deferred payment.

If NNC is satisfied that a third party, or the customer, is able and willing to pay the additional cost of the preferred accommodation option, for the period during which NNC expects to support the customer’s needs, the person the person paying will enter into a written agreement with NNC in which the person paying agrees to pay the additional cost. This is separate agreement to the Deferred Payment Agreement and an example of this agreement can be found in Appendix (B) to this policy document.

When a top up is agreed, NNC will pay the provider net of the third party contribution and the third party payer will need to pay the provider directly.

NNC will administer top-ups in accordance with the duties set out in the Care Act Statutory Guidance (Annex A: Choice of accommodation and additional payments).

Obtaining security

In order to enter into a Deferred Payment Agreement, NNC must have adequate security in place. In line with Care Act Statutory Guidance, NNC must accept the following form of security:

a. *A legal mortgage charge on a property via the Land Registry i.e. a 1st charge. 

* Where a property is jointly owned, NNC will request all owners consent and agreement to place a charge on the property. All owners will need to be signatory of the charge. The agreement will require the co-owner(s) to agree to the sale of the property for the purpose of repaying the debt due to NNC.

Interest rate and administration charge

NNC will recover the costs of administering the deferred payment scheme in line with the Statutory Guidance for the Care Act. This national guidance outlines how local authorities should intend to operate a cost neutral deferred payment scheme.

The deferred payment scheme provided by NNC includes an administration charge for costs associated with the arrangement and on-going management of a deferred payment agreement. NNC also applies a rate of interest to the agreed amount deferred to cover the cost of lending.

The administration charges and interest for a deferred payment can be added on to the total amount deferred as they are accrued, although a person can request to pay these separately if they choose. The NNC deferred payment agreement (an example of this agreement can be viewed in Appendix (A) to this policy document) explains that all fees deferred, including any interest and administrative charges incurred, must be paid in full by the person entering into the agreement.

Prior to entering into a deferred payment agreement with NNC, information will be made available on the rate of interest that will be charged on a deferred amount. The person will also be informed of when interest rates are likely to change.

The rate of interest applied to deferred amounts will be reviewed on a regular basis and will be maintained in accordance with the guidance for the national maximum rate as detailed within the Statutory Guidance for the Care Act. The same rate of interest will be applied to all deferred payment agreements with NNC and on review, any changes to the rate of interest will be applied to all the agreements NNC has entered into.

The interest charged and added to the deferred amount will accrue on a compound basis. An interest charge that is compounded means that the interest is initially calculated on the agreed loan amount, but also then on the accumulated interest for each period thereafter. Interest will continue to accrue on a compound basis until the deferred amount, along with all accrued interest and incurred administration charges, are repaid to NNC in full. The approach to charge interest on a compound basis for deferred payments is in line with the Statutory Guidance for the Care Act.

Interest can accrue beyond the point where the equity limit is reached. It can also accrue after the death of the customer up until the point at which the deferred amount is repaid to NNC. If NNC cannot recover a possible debt for an agreement and seeks to pursue this through the County Court system, NNC may consider charging the higher County Court rate of interest.

The administration charge a person will be liable to pay through entering into a deferred payment agreement with NNC includes costs associated with the set up and on-going management of the agreement. These costs may include (but are not limited to) the following:

a) Registering a legal charge with the Land Registry against the title of the property, including Land Registry search charges and any identity checks required.
b) Undertaking relevant postage, printing and telecommunications.
c) Costs of time spent by those providing the service.
d) Cost of valuation and re-valuation of the property.
e) Costs for removal of charges against property.
f) Overheads, including where appropriate (shares of) payroll, audit, management costs, legal service.

A list and the details of the administration charges that a person can be liable to pay can be found on the NNC website. The charges will be subject to a review on an annual basis, which will include increases in line with RPI. 

Deferred Payment Agreement

The Agreement

Where someone chooses to enter into a deferred payment agreement, NNC will aim to have the agreement finalised and in place by the end of the 12- week disregard period (where applicable) or within 12 weeks of the person approaching NNC regarding deferred payments in other circumstances.

Decisions on a person’s care and support package, the amount they intend to defer, the security they intend to use and the terms of the agreement, should only be taken into account following a discussion between NNC and the customer. Once the agreement in principle has been reached between NNC and the applicant, it is NNC’s responsibility to transpose the details agreed into a deferred payment agreement, taking the legal form of a contract between NNC and the applicant.

NNC will provide a hardcopy of the deferred payment agreement to the applicant, allowing the applicant 14 days to read, consider and return the agreement, which will be time period for the applicant to query any clauses and discuss the agreement further with NNC before signature and return.

An example of the NNC deferred payment agreement can be found in Appendix (A) to this policy document.

Contractual responsibilities for the council

NNC will provide customers with six-monthly written statements with an update on the amount of fees deferred, interest and administrative charges accrued to date, the total amount due and the equity remaining in the security.

A written statement will be provided by NNC to the customer within 28 days if requested.

Contractual responsibilities for the customer

The deferred payment agreement sets out various contractual requirements for the individual. An example agreement can be found in Appendix (A) to this policy document. The agreement requires the individual to notify NNC of any changes in their income.

The agreement also contains provisions requiring the adult to notify the authority of changes in their need for care and support, if those changes are ones which will mean that the authority must or is entitled to stop making further instalments under the agreement or to alter the amount of the instalments.

NNC requires that appropriate arrangements are in place to maintain a person’s home while they are in residential or nursing care. In particular, that their home is maintained adequately and that adequate insurance for their property is in place.

Additionally, the agreement requires the customer to obtain NNC’s consent before allowing someone to move into the property after the agreement has been made.

Terminating the agreement

A deferred payment agreement can be terminated in three ways:

a) At any time by the individual, or someone acting on their behalf, by repaying the full amount due (this can happen during a person’s lifetime or when the agreement is terminated through the deferred payment agreement holder’s death)
b) When the property (or form of security) is sold and the authority is repaid; or 
c) When the person dies and the amount is repaid to NNC from their estate.

On termination, the full amount due (including care costs, interest accrued and administrative or legal fees charged) must be paid to NNC.

If a person decides to sell their home, they should notify NNC during the sale process. The person will be required to pay the amount due to the local authority from the proceeds of the sale and NNC will be required to relinquish the charge on their property.

A person may decide to repay the amount due to NNC from another source, or a third party may elect to repay the amount due on behalf of the customer. In either case, NNC should be notified of the person’s or the third party’s intention in writing and NNC will relinquish the charge on the property on receipt of the full amount due.

If the deferred payment is terminated due to the person’s death. The amount due to NNC must be either paid out of the estate or paid by a third party. A person’s family or a third party may wish to settle the debt to NNC by other means of repayment and NNC will accept an alternative means of payment in this case, provided this payment covers the full amount due. 

NNC will wait at least two weeks following the person’s death before approaching the executer with a full breakdown of the total amount deferred (but a family member or the executor can approach NNC to resolve the outstanding amount due prior to this point).

Responsibility for arranging for repayment of the amount due (in the case of payment from the estate) falls to the executor of the will.

Interest will continue to accrue on the amount owed to NNC after the individual’s death and until the amount due to NNC is repaid in full.

If the agreement is terminated through a person’s death, the amount owed to NNC under a deferred payment agreement falls due 90 days after the person has died. After this 90-day period, if NNC concludes active steps to repay the debt are not being taken, for example, if the sale is not progressing and NNC has actively sought to resolve the situation (or NNC concludes the executor is wilfully obstructing sale of the property), NNC may enter into legal proceedings to reclaim the amount due.

In whichever circumstance an agreement is terminated, the full amount due to the local authority must be repaid to cover all costs accrued under the agreement, and the person (or the third party where appropriate) must be provided with a full breakdown of how the amount due has been calculated. Once the amount has been paid, NNC will provide the individual with confirmation that the agreement has been concluded, and confirm (where appropriate) that the charge against the property has been removed.

Monitoring and review

NNC will review the deferred payment agreement and supporting information on a regular basis for the following reasons:

a) Changes in need for care and support.
b) Check insurance of a property including those that are empty.
c) Property revaluations that will be required on an annual basis and will require a new valuation of the property to be submitted upon request.
d) Properties that are to be sold.
e) Properties that are rented out.
f) Payment schemes that are close to the maximum deferral amount allowed.
g) Insurance policies used as security.
h) Paperwork checks on items that are registered as security against care payments.

Any breaches in terms and conditions may result in the termination of the deferred payment agreement.

Appeals and complaints

NNC promotes the right of its customers to raise a concern or make a complaint if they feel something has been undertaken incorrectly or if they feel it has been addressed poorly.

This policy explains how the NNC deferred payment scheme aligns with the Care Act Statutory Guidance and the mandatory criteria for a deferred payment. If a customer feels they would like to appeal an application decision for a deferred payment, they can do so by contacting NNC’s Complaints Service.

If a person has a complaint concerning the deferred payment application process, this also should be directed to the NNC Complaints Service.

Equalities

NNC believes in the dignity of all people and their right to respect and equality of opportunity and life chances. We value the strength that comes with difference and the positive contribution that diversity brings to our County.

Under the Equality Act 2010, NNC and its staff are fully committed to the public sector equality duty to:

a) eliminate discrimination, harassment and victimisation.
b) advance equality of opportunity.
c) foster good relations.

We recognise and accept that discrimination means some people may not have had equal access to support or universal services or fair chances in life.

Glossary of terms

Appendices

Appendix (A) Example NNC Deferred Payment Agreement

Care Act 2014
Deferred Payment Agreement
North Northamptonshire Council
and
Full-Name
Property:
Prop-Address
Registered title number of property on which agreement is to be secured:
Prop-Title

This Agreement is made between North Northamptonshire Council (“the Local Authority”), of Haylock House, Kettering Parkway, Kettering, NN15 6EY and Full- Name (“you”, “the Borrower”), of Prop-Address.

Interpretation

In this agreement, the following words have the following meanings:

Accommodation: the care home identified in Schedule 1, as it may be amended in accordance with term 0 below. Agreement: the terms set out in this document and numbered 0 to 0, Schedule 1.
Care Charges: those charges for care or support which are specified by description and the weekly amount in Schedule 1, as they may be amended in accordance with any of terms 0, 0 or 0 below.
Costs: the Local Authority’s reasonable administrative costs reasonably incurred in respect of this Agreement, which are payable under term 0 below, estimates for some of which are given in Schedule 1.
Debt: the balance from time to time of the Loan which has not yet been repaid, together with any interest and Costs already charged and not yet paid.
Loan: the total amount, at any time, which has been lent under this Agreement to pay Care Charges or, where the Local Authority is the care provider, the total amount of Care Charges which have been deferred, and the words “lend”, “lending” and “lent” are used in this Agreement to describe the act of deferring a Care Charge or Care Charges payable to the Local Authority.
Lending Limit: the limit on lending as set out in Schedule 1 (see also term 0).
Property: the property and any other assets identified on this Agreement.
Property Interest: Full-Name’s beneficial interest in the Property.
Rate of Interest: the rate of interest stated in Schedule 1, as it may be varied under term 0.

Where a reference is made in this Agreement to any legislation or legislative provision, it includes reference to that statute or statutory provision as it may from time to time be amended, extended or re-enacted.

Where the context allows or requires, words in the singular include the plural and words in the plural include the singular.

Where a reference is made in this Agreement to your income, it means your income as calculated in accordance with regulations made under section 17 of the Care Act 2014.

How the loan will be made

The Local Authority agrees, subject to the Lending Limit and to the limits related to income, as set out in 0 to 0 below to lend amounts to you, the Borrower. Each amount will be subject to a maximum of the weekly Care Charge specified in Schedule 1 or, if less, the weekly care charge which is actually payable and which meets the Description of Care Charges in Schedule 1.

The Loan will be made by deferring your obligation to pay Care Charges which are payable to the Local Authority. The details of the Accommodation and the Care Charges are set out in Schedule 1 at the end of this Agreement, together with the Lending Limit.

If the Loan would exceed the Lending Limit as a result of the Local Authority lending an amount that it would otherwise be due to lend for Care Charges, the Local Authority will not lend that amount. This means, for example, that if 90% of the value of the Property Interest, less the amount of any indebtedness secured over the Property by a charge with priority over the Local Authority’s security and less £14,250, is £70,000, and you have already been lent a total of £70,000, you will not be lent any more unless or until the value of the Property increases.

However, where, due to a fall in the value of the Property, the Loan comes to exceed the Lending Limit on a date which falls after the date on which the Local Authority last lent an amount in respect of Care Charges and on or before the date on which it is next due to lend an amount in respect of Care Charges, the Local Authority will lend on that next occasion even though lending on that occasion will result in the Loan further exceeding the Lending Limit. After that, the Local Authority will not lend any further amount unless or until the value of the Property increases.

Where the Care Charges are payable to a care provider other than the Local Authority, the Local Authority will pay the amount of the Care Charges to the care provider.

If there is any change in the frequency of the Care Charges or any change in the amount of the charges which the care provider is charging you for care, you must inform the Local Authority as soon as reasonably practicable, giving advance notice of any such change to the Local Authority whenever you have advance notice of the change.

You may, at any time, pay the Care Charges, or part of the Care Charges, yourself, when they become payable, in which case you must give advance notice to the Local Authority of the amount you are going to pay separately (“your contribution”), specifying whether your contribution is to be made on only one occasion or on a specified number of occasions or on each occasion when a Care Charge becomes payable until further notice.

The Local Authority will not be required to change the frequency with which, or the amounts in which, it lends under this Agreement any sooner than the fourteenth day after the Local Authority receives notice of any change in the frequency with which or the amounts which, as applicable, you are charged, or which you require the Local Authority to lend under this Agreement.

If you move from the Accommodation into another care home or other supported living accommodation, that new accommodation will be substituted as the Accommodation, and the care charges payable in respect of the new Accommodation (or if less that part of those new care charges which are equal to the existing Care Charges) will be substituted as the Care Charges if they meet the description which is given of the Care Charges in the Schedule or, where they do not meet that description, if the Local Authority is either required under the Care Act 2014 to agree to lend in respect of those care charges or permitted to do so under the Care Act 2014 and willing to do so.

The times for payment of the Care Charges will be substituted for the times shown in the Schedule once at least fourteen days’ notice of those times has been given to the Local Authority.

The amount of the weekly Care Charge for which the Local Authority is to lend, as set out in Schedule 1, takes into account the fact that your income exceeds £144 per week and the fact that the Local Authority requires you to contribute to the payment of each weekly care charge, as it falls due, the amount by which your income exceeds £144 in that week.

The weekly Care Charge for which the Local Authority will lend will be increased by an amount which is equivalent to any reduction in your income up to the maximum of the weekly care charge which is actually payable and which meets the Description of Care Charges in Schedule 1, and subject to the Lending Limit.

The Local Authority may, upon giving you at least 30 days’ written notice within 30 days after:

(a) it comes to the attention of the Local Authority that your income has exceeded £144 in any week while this Agreement is subsisting, or 
(b) where, at or since the date of this Agreement, your income has already exceeded £144 per week, it comes to the attention of the Local Authority that your income has further exceeded £144 in any week while this Agreement is subsisting, require you to repay the amount, if any, by which that part of the Loan already provided under this Agreement for Care Charges in respect of that week exceeded the difference between the care charges actually payable and the amount by which your income exceeded £144 in that week.

The Local Authority may, upon giving you at least 30 days’ written notice within 30 days after it comes to the attention of the Local Authority that your income is to exceed, or further exceed, £144 in any week while this Agreement is subsisting, reduce the amount that it will lend in respect of the care charges for each subsequent week that your income is so to exceed £144 by the amount by which your income is so to exceed £144 in that week and the amount of the Care Charge specified in Schedule 1 will be amended accordingly.

The Local Authority will not lend any further amount under this Agreement, even where the total amount of the Loan already provided is less than the Lending Limit, at any time when:

• you are no longer receiving care and support in a care home or in supported living accommodation
• in the reasonable view of the Local Authority your needs should no longer be met by the provision of care and support in a care home or in supported living accommodation
• the Property can no longer be insured against all usual risks, unless there are reasonable grounds for concluding that the site value of the Property Interest, disregarding any building on the property, is adequate security for the Debt, together with such further lending as is to be provided
• your financial resources in terms of capital and as calculated for the purposes of the financial assessment carried out under section 17 of the Care Act 2014 are not more than the sum specified in regulation 12 of the Care and Support (Charging and Assessment of Resources) Regulations 2014 (currently £14,250) and since the date of this Agreement the Property has become occupied by your partner or by your child who is under 18, or by another member of your family who is aged over 60 or who is incapacitated or by a relative of yours who is aged over 60 or who is incapacitated and for the purposes of assessing your financial resources in terms of capital the Local Authority has decided to disregard the value of the Property

The Local Authority will give you at least 30 days’ written notice of the date on which the Lending Limit will be reached unless it is not reasonably practicable to do so because, for example, the Lending Limit is reached by reason of a fall in the value of the Property.

Interest

Interest will be charged monthly on a compound basis.

Interest will be added to the Debt each month, on the date when an amount is lent to you for Care Charges, unless the interest is paid before that date.

The Local Authority may vary the Rate of Interest so as to reflect, in a proportionate and reasonable way any change in the cost of funding the Loan (or so much of such a change as the Local Authority may choose should be reflected in a variation to the Rate of Interest), upon giving you at least 14 days’ written notice if the Rate of Interest is to be increased or without notice if the Rate of Interest is to be reduced, provided that:

• the Rate of Interest may never exceed the maximum rate which the local authority is permitted to charge by regulations made under the Care Act 2014; and
• the Local Authority exercises its power to increase the Rate of Interest, it will also subsequently exercise its power so as to reduce the Rate of Interest so as to reflect, in a proportionate and reasonable way, any reduction in the cost of funding the Loan which occurs after such increase or increases in the rate of interest 

Costs and interest on costs

You must pay the Costs, estimates for some of which are set out in Schedule 1 below.

The Costs you have to pay will be the actual reasonable costs incurred in respect of this Agreement.

A copy of the Local Authority’s current tariff of charges will be provided to you with this Agreement. The Local Authority will give you notice of any changes to the tariff of charges by sending you a copy of the tariff whenever it is changed, and you may obtain a copy of the current tariff of charges on request at any time.

The Local Authority will give you notice of any Costs incurred by the Local Authority and if you do not reimburse the amount of those costs to the Local Authority within 28 days after such notice is given, the amount of those costs will be added to the Debt and interest will be charged on the amount of those costs in accordance with term 0 above in respect of the period starting on the 29th day after notice of the costs was given to you until payment to the Local Authority.

Repayment

The Debt is to be repaid to the Local Authority on the earliest of the following dates:

• The date of any sale or other disposal of the Property or of Full-Name’s beneficial interest in the Property
• 90 days after the date of death of Full-Name

If the Local Authority provides any part of the Loan under this Agreement upon the mistaken assumption that it is required to provide that part of the Loan when in fact it is not and when you ought reasonably to realise that the Local Authority is not required to provide that part of the Loan (because, for example, you are no longer living in the Accommodation) that part of the Loan will be immediately repayable to the Local Authority, together with interest calculated in accordance with term 0 above.

If the Local Authority provides any part of the Loan under this Agreement upon the mistaken assumption that it is required to provide that part of the Loan when in fact it is not and when it is not the case that you ought reasonably to realise that the Local Authority is not required to provide that part of the Loan, that part of the Loan will be repayable to the Local Authority, together with interest calculated in accordance with term 0 above, upon the Local Authority giving you not less than three months’ notice to repay it.

Security

The Local Authority’s rights to repayment and to be paid interest and Costs under this Agreement are to be secured by a legal charge over the Property.

Possession and use of the Property

The Property must not be let or occupied by any person without the Local Authority’s prior written consent, which will not be unreasonably withheld provided that the property is to be occupied upon an assured short hold tenancy which enables an order for possession to be obtained, after the expiry of an initial term of no more than 6 months, upon one month’s written notice.

Insurance and maintenance of the property

If satisfactory evidence of a policy of insurance is not provided to the Local Authority that the Property is adequately insured against all usual risks, the Local Authority may itself insure the Property under an appropriate policy of insurance and against all usual risks unless there are reasonable grounds for concluding that the site value of the Property, disregarding any building on the property, is adequate security for the Debt, together with a reasonable amount by which it is anticipated that the Debt will increase in the foreseeable future.

The Local Authority will give you notice of any costs reasonably incurred by the Local Authority in so insuring the Property and if the Borrower does not reimburse the amount of those Costs to the Local Authority within 28 days after such notice is given, the amount of those Costs will be added to the Debt and interest will be charged on the amount of those Costs in accordance with term 0 above in respect of the period starting on the 29th day after notice of the Costs is given to you, or, if later than the 29th day after advance notice is given that such an item, or items, of Costs will be incurred, the date on which such item, or each such item of Costs is incurred.

The Local Authority, or any appropriately qualified person acting on behalf of the Local Authority, may, no more than once a year, and upon giving at least 14 days’ notice to the Borrower or other owner of the Property, inspect the Property for the purposes of ascertaining whether the Property is being maintained in reasonable condition and whether there are works of maintenance or repair which should be undertaken to the Property in order to preserve or restore its value.

The Local Authority, or any appropriately qualified person acting on behalf of the Local Authority, may, upon giving not less than 14 days’ notice to you, carry out such works of maintenance or repair as the Local Authority reasonably considers should be undertaken to the Property in order to preserve or restore its value at or to a value which is adequate security for the Debt, together with a reasonable amount by which it is anticipated that the Debt will increase in the foreseeable future; provided that no more than 56 days and not less than 28 days before, you were given notice by the Local Authority (or any appropriately qualified person acting on behalf of the Local Authority) requesting that you carry out or have those works carried out, and those works have not been carried out to the reasonable satisfaction of the Local Authority or the appropriately qualified person.

In the event that the Local Authority has reasonable grounds to believe that works of maintenance or repair are or may be required as a matter of urgency, the notice requirements under 0 and 0 above are to be replaced with a requirement to take reasonable steps to notify you as soon as reasonably practicable.

Valuations

The Local Authority will give you notice of any reasonable Costs reasonably incurred by the Local Authority in relation to the maintenance or repair of the Property and if you do not reimburse the amount of those Costs to the Local Authority within 28 days after such notice is given, the amount of those Costs will be added to the Debt and interest will be charged on the amount of those Costs in accordance with term 0 above in respect of the period starting on the 29th day after notice of the Costs was given to you until payment to the Local Authority.

If at any time the Local Authority has reasonable grounds for concluding that the Debt exceeds 50% of the value of the Property Interest, the Local Authority may take reasonable steps to ascertain the value of the property and in particular may instruct a suitably qualified valuer to inspect the Property and to provide a report to the Local Authority on the market value of the Property.

The Local Authority will give you notice of any reasonable Costs reasonably incurred by the Local Authority in obtaining a valuation report or otherwise ascertaining the value of the Property and if you do not reimburse the amount of those Costs to the Local Authority within 28 days after such notice is given, the amount of those Costs will be added to the Debt and interest will be charged on the amount of those Costs in accordance with term 0 above in respect of the period starting on the 29th day after notice of the Costs was given to you until payment to the Local Authority.

Keeping the Local Authority informed

You must inform the Local Authority as soon as reasonably practicable if any of the following happens:

• Your income exceeds, or is expected to exceed, £144 in any week or, where your income has already exceeded £144 per week, it further exceeds, or is expected to further exceed, £144 in any week
• There is any change to the amount or frequency of your Care Charges
• You have not paid any Care Charge in full when it has become due (other than any which is payable to the Local Authority or which the Local Authority is to pay on your behalf under this Agreement)
• You cease to live in a care home or supported living accommodation
• There is a change to your needs for care and support the effect of which is that you may no longer require your needs to be met by the provision of the Accommodation
• A decision is taken to sell or otherwise dispose of the Property or any of it or the Property Interest

You must, whenever asked to do so by the Local Authority, provide evidence to the Local Authority, as soon as reasonably practicable, that the Property is adequately insured against all usual risks. The Local Authority will not request the provision of such evidence during a period in respect of which evidence has already been provided to the Local Authority that the Property is adequately covered by an insurance policy, provided that evidence has also been provided to the Local Authority that the premium and insurance premium tax payable for that policy have been paid.

Ending this Agreement

This Agreement has no fixed duration.

You may bring the Agreement to an end at any time by giving reasonable written notice to the Local Authority and paying the whole of the Debt.

If you do not bring the Agreement to an end early under 0 above, the Agreement will come to an end when the Debt is paid in accordance with term 0 above.

Statements

The Local Authority will provide you with a written statement, informing the you of the amount which you would have to pay to the Local Authority if you were to bring the Agreement to an end on the date on which the statement is sent or such later date as has been requested by you, and the amount of interest and Costs which have accrued since the Agreement was made:

• at the end of the period of six months beginning with the date of this Agreement
• every six months after the date of the first statement
• within 28 days of a request to the Local Authority for such a statement made by you or on your behalf

How notices or statements are to be given

Any notice or statement which the Local Authority is to give, or may give, to you under this Agreement is to be given by sending the notice by first class prepaid post to you at the Accommodation or to such other person and at such address as has been agreed between the Local Authority and you from time to time.

Any notice which you give to the Local Authority under this Agreement is to be given by contacting 0300 126 3000, or by written notification to: Financial Assessment Team, North Northamptonshire Council, Haylock House, Kettering NN15 6EY.

Any notice or statement which is sent by first class prepaid post is to be treated as having been served on the second day after it is posted, excluding Sundays and public holidays.

Applicable law

The interpretation, validity and performance of this Agreement shall be governed by the law of England and Wales.

Variation

Any variation to this Agreement must be in writing and signed both by the Borrower and on behalf of the Local Authority.

Borrower’s signature
Please read this Agreement carefully, including all the terms set out above, the information set out below and the terms and information set out in the Schedules at the end of the Agreement. Only sign below if you understand and accept those terms and information.

Signed on behalf of the Borrower*:

Full name of signatory in block capitals:
POA-Name on behalf of Full-Name
Date of signature:

*If you have signed on behalf of the Borrower you are declaring that you have either explained the contents of this agreement to the Borrower or that you have the legal authority to act on their behalf and understand the Agreement that you are signing. If you are in any doubt, please seek independent legal advice prior to signing.

Signed on behalf of the Local Authority:

Name of person signing:
Position of person signing: Assistant Director Commissioning and Performance
Date of Signature on behalf of the Local Authority and Date of Agreement: Sig-Date

Missing payments

If you do not make payment when it falls due, legal proceedings may be issued against you for a judgment for the amount you owe and for possession of the Property. It could also make it more difficult or expensive for you to obtain credit in the future.

Complaints

If you or any guarantor is dissatisfied with any action or omission on the part of the Local Authority under or in connection with this Agreement, in the first instance please contact the Complaints team.

Schedule 1

Accommodation: Care-Home

Description of Care Charges: Charges include, in addition to the charges which the Local Authority considers to be necessary to meet the Borrower’s needs, the following charges which are being incurred to meet the Borrower’s preferences: £XX

Weekly Care Charge: £X
The Care Charges specified above are those Care Charges for which the Loan is to be provided by the Local Authority under this Agreement. The total payable for your care and support while the Borrower is living in the Accommodation may be more than the Care Charges shown above.

Date when first Care Charge to which this agreement relates will be incurred: DPA-Date

Lending Limit: the lower of: 

(1) 90% of the market or surrender value of the Property Interest less:
(a) the total amount of any indebtedness secured on that asset, or those assets, by security which has priority over the Local Authority’s security, and 
(b) £14,250 (2) £X

Rate of Interest: X % subject to variation under term 3.

Estimated Costs: £105 for setting up the agreement; £15 for the annual review of the agreement; £20 for closing the agreement cancelling registration of the legal charge, discharging the security upon repayment of all sums payable under this Agreement.

Appendix (B) - Example Third Party Agreement

This Agreement is made on the ................................................... 

Between: (“The Third Party”) and North Northamptonshire Council (“the Council”) of Sheerness House, Northamptonshire. 

Whereas

1. (“the Resident”) has expressed a wish to live at (Insert Address) but does not have sufficient financial resources available from personal finance and the Council payment to meet the full cost of this accommodation.
2. The Third Party is able and has agreed to make a regular contribution towards the cost of the Resident’s accommodation.

The Council and the relative have agreed as follows:

1. In consideration of the Council agreeing to maintain the Resident at the Home, the Third Party agrees with the Council to pay the weekly sum of £……….. per week only to the Council (on behalf of the Resident).
2. The Council agrees with the Third Party that the suitability of the home for the Resident will be reviewed at yearly or more frequent intervals and that the Third Party will be consulted in the course of each review.
3. The Third Party agrees that the sufficiency of his or her contribution will be assessed at 12 monthly or longer intervals by the Council and that after such assessment the amount of the contribution may need to be increased. The Council agrees to provide the Third Party in each such case with a written statement showing how payment of the charges of the Home is to be apportioned. The Council agrees to give the Third Party at least 4 weeks written notice of any increase in contribution.
4. Under an Agreement between the Council and the Management of the Home the Council will be entitled to terminate the accommodation of the Resident in the Home and those circumstances may include the inability of the Council to pay the charges of the Homes by virtue of contributions having not been paid. The Council may be required to make arrangements for alternative accommodation to be provided for the Resident. The Council agrees to give reasonable notice to the Third Party of any such changes in circumstances.
5. Either Party may terminate this Agreement by giving not less than 4 weeks written notice to the other party. As soon as such notice has been given the Council will carry out a review of the placement (if such a review has not or is not already taking place).
6. If the Resident is transferred from the Home without the Third Party’s written consent this Agreement will terminate on the date the Resident leaves the Home.
7. Any dispute or disagreement arising under this Agreement may be referred to the Council’s Purchasing Manager or who will attempt to resolve the matter without delay.

Introduction

The Care Act 2014 provides the legal framework for charging for care and support. Section 14 of the Act allows local authorities to charge a person in receipt of care and support services where it is permitted to charge, and Section 17 of the Act allows local authorities to carry out an assessment of an Individual’s financial resources to work out the amount, if any, that they will be required to pay towards the cost of their care.

The Act, together with the supporting regulations and statutory guidance sets out a single framework model for charging people whose eligible needs are met within a care home setting, and also requires local authorities to develop and maintain a policy for charging people with care and support needs that are met in settings other than care homes. These form the basis of the council’s Fees and Charges policy, except where the Council uses its discretionary powers.

The Council will also refer in its financial assessment determinations to best practice guidance produced by the National Association of Financial Assessment Officers.

Scope

This policy should be read in conjunction with the Care and Support Statutory Guidance

Policy outcomes

Unlike NHS healthcare, social care and support services are not generally free of charge - people have always had to pay something towards the cost of their care if they can afford to do so. This policy will set out the key principles of charging for the following:

• Care received in the community, including respite accommodation stays
• Care received in a residential accommodation setting
• Top up and arrangement fees
• Deferred Payment Agreements and associated administration and interest charges
• Flat rate charges for assistive technology
• Flat rate fees for personal financial support such as appointeeship or deputyship

Fees and Charges for Adult Social Care

Financial Assessment, Capital, and Income

When you access care and support via local authority funding, you must be financially assessed to determine how much, if anything, you can afford to contribute towards the cost of your care. This section will provide the basic principles of a financial assessment, which apply to care received in a residential care setting or in the community. Flat rate charges such as assistive technology charges do not require a financial assessment and if you access these services you will be responsible for paying all of the flat rate charge.

The Council believes it is important that people pay the charges to their care costs that they are responsible for, but in deciding to charge for care the Council adheres to a number of important principles in its approach:

• Fairness - the policy will be applied consistently to all adults receiving services, regardless of how they are receiving their services, so that everyone is treated fairly and equitably. For those who are not eligible for services we will offer signposting, advice and information.
• Ability to pay - everyone who receives social care support will be asked to contribute towards the cost of their social care based on their ability to pay rather than on the cost of their services alone. Everyone will be offered a comprehensive financial assessment of their individual circumstances and be left with a basic level of protected income, as set out in Government guidance. Following an assessment, no-one will be asked to contribute more than is reasonable. Depending on their situation, some people will not have to contribute anything.
• Maximising benefits entitlement - to ensure everyone is receiving all the welfare benefits they are entitled to and not missing out, everyone will receive a welfare benefits check as part of their financial assessment to identify any benefits they might be entitled to and provide them with details of how to apply. If a benefit entitlement is identified and you require support to apply for the benefit, the Council can arrange for a Welfare Benefits Adviser to contact you to offer support.
• Transparency and clarity - the policy is set out in a clear and straightforward way so that everyone can understand how their contributions (if any) have been calculated, will know what their contributions might be at an early stage, and be able to judge whether or not the policy has been applied correctly in their individual case.
• Empowerment - the policy supports the overall goal of the Council to support people to have more choice and control over their resources and the way these are utilised, so that they are able to live their lives the way they want and feel included in their community.
• Proportionality - the charges will be based on the actual cost of the service to the Council and you will only be asked to contribute towards the value of your own care.
• Compliance with statutory duties - the policy will be applied in a way that is fully consistent with legislation and the requirements set out in national guidance.

Financial assessments – The basics

Financial assessments will be carried out if you:

• are in receipt, or likely to be in receipt, of an eligible care package; and
• have capital below the threshold limit (currently set at £23,250). This includes, but is not limited to, bank or building society accounts, unit trusts and savings bonds - For non-residential care, the value of your home (your primary residence) does not count for these purposes, but any additional properties you do not live in do

At the time of carrying out your assessment we must establish whether or not you have mental capacity, i.e. the ability to make your own decisions. If you lack capacity we will carry out your financial assessment by consulting with someone who is dealing with your financial affairs. We will check to see whether you have:

• Enduring Power of Attorney (EPA)
• Lasting Power of Attorney (LPA) for property and affairs
• Lasting Power of Attorney (LPA) for health and welfare
• property and affairs deputyship under the Court of Protection
• any other person dealing with your affairs (e.g. someone who has been given appointeeship by the Department for Work and Pensions for the purpose of benefit payments).

If you lack capacity to give consent to a financial assessment and do not have any of the above people with authority to be involved in your affairs, you may need the appointment of a property and affairs deputyship. Family members can apply for this to the Court of Protection or the Council can apply if there is no family involved in your care.

Capital

The definition and treatment of capital in the financial assessment, including the calculation of its value, and the application of appropriate disregards will be undertaken in accordance with Sections 14 and 17 of the Care Act, and Annex B of the Care and Support Statutory Guidance.

The Council generally defines capital as any financial amount held in assets such as current accounts, savings accounts, stocks and shares, investment products and property. The Council will usually include the value of the capital in the financial assessment at the date that the financial assessment is completed, unless any care funding started prior to the financial assessment being completed.

Some capital is not taken into account for financial assessment purposes. This includes:

• Personal Injury Compensation Payment
• Arrears of Attendance Allowance, Pension Credit, Income Support, Housing Benefit
• the value of your main residence if you remain living their while accessing care services

A capital asset is normally identified as belonging to the person in whose name it is held. Where a person has joint beneficial ownership of capital, the total value will be divided equally between the joint owners, and the person should be treated as owning that amount - except where there is evidence that the person owns an unequal share.

The Care Act 2014 sets out upper and lower capital limits whether care is received in the community or in a residential care home setting:

• If you have capital above the upper threshold of £23,250, you will contribute the full amount of your care package, usually directly to the care provider. Capital and savings will still be checked and welfare benefits advice and assistance offered.
• If you have capital below the lower threshold of £14,250, the total amount will be disregarded within the financial assessment.
• If you have capital between £14,250 and £23,250 you will have to pay £1 per week for every £250 or part thereof held. (For example, if you have £18,250 in savings, this is £4,000 above the lower threshold and so this would be calculated as £4,000 ÷ £250 = £16 per week which would be included in your weekly income based on your savings).

People who need care and support who are self-funding will usually make their own arrangements with the care home or care provider regarding the payment of the care fees. The Council can however make arrangements on behalf of an individual if they lack mental capacity to do so, or do not have a representative empowered to do so. 

These arrangements can include brokering the contract on behalf of the person or entering into a contractual arrangement with the provider. The Council can offer at no charge, information, advice and guidance to assist people who are self-funding to find the right care for themselves.

If a self-funding persons capital falls to the upper capital limit or below it, a care assessment or care review will be completed to determine eligibility for Council funding, and a financial assessment will be completed to determine the persons level of capital and savings and details of their other finances. This information should determine from what date the person will become eligible for help from the Council with their care fees.

Income

The definition and treatment of income in the financial assessment, including the calculation of its net value, and the application of appropriate disregards will be undertaken in accordance with Sections 14 and 17 of the Care Act and Annex C of the Care and Support Statutory Guidance.

Income is received in various forms state benefits, occupational pensions, tariff income from capital, property etc. and will be taken fully into account within a financial assessment.

The financial assessment will calculate a contribution based upon your maximum chargeable income. For community based services you will be allowed to keep the amount set by the Department of Health and Social Care each year and some disability-related costs and they will not be included within the maximum assessable income figure. For residential and nursing care services you will be allowed to keep the Statutory Personal Expenses Allowance, this is also set annually by the Department of Health and Social Care.

All income is taken fully into account in the financial assessment unless the regulations require that it should be disregarded either partially or fully. There are some circumstances where income should be available but has not been claimed or applied for. In these circumstances, the Council may take this income into account as notional income. 

For example, if the Council identifies that you have a claim for a disability benefit and you chose not to apply for the benefit, the Council may still include the value of the benefit in the financial assessment. Support with applying for any benefits is available at no charge from the Council.

We will disregard all or part of the following benefits when assessing your income: (The following lists are intended as a guide, and are not exhaustive).

Any income from the following sources must be fully disregarded:

• Armed Forces Independence Payments and Mobility Supplement
• Any earnings from paid employment
• Child Support Maintenance Payments and Child Benefit, except where the accommodation is arranged under the Care Act in which the adult and child both live
• Child Tax Credit
• Council Tax Reduction Schemes where this involves a payment to the person
• Disability Living Allowance (Mobility Component) and Mobility Supplement
• Christmas bonus
• Dependency increases paid with certain benefits
• Discretionary Trust
• Gallantry Awards
• Guardian’s Allowance
• Guaranteed Income Payments made to Veterans under the Armed Forces Compensation Scheme
• Payments made to Veterans under the War Pension Scheme with the exception of Constant Attendance Allowance
• Income frozen abroad
• Income in kind
• Pensioners Christmas payments
• Personal Independence Payment (Mobility Component) and Mobility Supplement
• Personal injury trust, including those administered by a Court
• Resettlement benefit
• Savings credit disregard
• Social Fund payments (including winter fuel payments)
• War widows and widowers special payments
• Any payments received as a holder of the Victoria Cross, George Cross or equivalent
• Any grants or loans paid for the purposes of education; and
• Payments made in relation to training for employment
• any payment from:
  - Macfarlane Trust
  - Macfarlane (Special Payments) Trust
  - Macfarlane (Special Payment) (No 2) Trust
  - Caxton Foundation
  - The Fund (payments to non-haemophiliacs infected with HIV)
  - Eileen Trust
  - MFET Limited
  - Independent Living Fund (2006)
  - Skipton Fund
  - London Bombings Relief Charitable Fund
  - Scottish Infected Blood Support Scheme
  - An approved blood scheme (this is a scheme approved by the Secretary of State, or trust established with funds provided by the Secretary of State, to provide compensation in respect of a person having been infected from contaminated blood products)
  - London Emergencies Trust
  - We Love Manchester Emergency Fund

Local authorities may take most of the benefits people receive into account. Those they must disregard are listed below. However, they need to ensure that in addition to the minimum guaranteed income or personal expenses allowance details of which are set out below people retain enough of their benefits to pay for things to meet those needs not being met by the local authority.

Any income from the following sources must be fully disregarded:

• Direct Payments
• Guaranteed Income Payments made to veterans under the Armed Forces Compensation Scheme
• War Pension Scheme payments made to veterans with the exception of Constant Attendance Allowance payments
• The mobility component of Disability Living Allowance
• The mobility component of Personal Independence Payment

Partially Disregarded Income

The following income is partially disregarded:

1. The first £10 per week of War Widows and War Widowers pension, survivors Guaranteed Income Payments from the Armed Forces Compensation Scheme, Civilian War Injury pension, any War Disablement pension paid to non-veterans and payments to victims of National Socialist persecution (paid under German or Austrian law). 
2. A savings disregard based on qualifying is made as follows:

For individuals:

• If you are in receipt of qualifying income of less than £133.82 per week there will be no Savings Disregard made
• If you are in receipt of qualifying income between £133.82 and £189.80 per week the savings disregard is made, which will equal the actual amount of the savings credit received or a sum of £6.95 whichever is less
• If you are in receipt of qualifying income in excess of £189.80 per week, and a savings credit reward is in payment, a flat rate savings disregard of £6.95 per week is made irrespective of how much the savings credit payment is
• If you have a qualifying income above the limit for receiving a savings credit reward (around £190 but could be higher if you are severely disabled, have caring responsibilities or certain housing costs) a flat rate savings disregard of £6.95 is made.

For couples:

• Where you are part of a couple (including a civil partnership) and in receipt of qualifying income of less than £212.97 per week there will be no savings disregard made
• Where you are part of a couple (including a civil partnership) and in receipt of qualifying income between £212.97 and £301.22 per week the savings disregard is made, which will equal the actual amount of the savings credit received or a sum of £10.40 whichever is less
• Where you are part of a couple (including a civil partnership) and in receipt of qualifying income in excess of £301.22 per week, and a savings credit reward is paid, a flat rate savings disregard of £10.40 per week is made irrespective of how much the savings credit payment is
• Where you are part of a couple (including a civil partnership) and have qualifying income above the limit for receiving savings credit (around £278 but could be higher if the person is severely disabled, has caring responsibilities or certain housing costs) a flat rate savings disregard of £9.75 is made.

The Department of Work and Pensions defines a couple as 2 people in the same household that are either:

• married to each other
• civil partners of each other
• living together as if they are married

The values of £189.80 and £301.22 above represent the standard minimum guarantee for an individual and couple respectively. These amounts are increased to an appropriate minimum guarantee where individuals and couples qualify as severely disabled or as carers because of receipt of qualifying benefits.

General Charging Principals

If you refuse a financial assessment, or the Council is unable to carry out a full financial assessment because of your refusal to co-operate with the assessment, or acts unreasonably in response to requests for information, you will be treated as having financial resources which exceed the financial limit and will have to pay the full cost of the care that you receive.

If you are in receipt of care, have had a financial assessment, and continue to receive care and support services, you will be required to advise the Council if there is a significant change in your income or capital, other than the usual annual uprating of pensions and benefits. Your financial assessment will be reviewed usually on an annual basis, or at your request to take account of any change in your financial resources. Changes to your care charge will usually take effect from the date of reassessment, unless the change is as a result of the annual uprating of welfare benefits, or if it is determined that there has been a deliberate failure to tell us about an increase in income or capital in which case the assessment will be backdated to the date of change.

Charges for care and support services will apply from the date that care commences, unless there has been a significant delay on the part of the Council in completing the assessment in which case the charge will apply from the date that the Council completes the financial assessment and notifies you or your representative.

Charges will only apply where care and support services are delivered. Services that are cancelled in accordance with the relevant contractual terms and conditions will not be charged for.

The minimum charge levied will be £1 any assessable income below this figure will not be charged.

All information provided in the course of a financial assessment will be held securely, in confidence, and in accordance with the principles of the General Data Protection Regulations.

Deprivation of Assets

Where you intentionally dispose of or deprive yourself of some or all of your income or assets in order to avoid or reduce care charges, the Council may treat you as still having those assets. The value of these will be included in the financial assessment as notional income or capital. Examples of deprivation of capital include making a lump sum payment to someone else, ownership transfer of a property or other asset, the placing of assets within a trust that cannot be revoked, and sudden substantial increased expenditure that is out of character with previous spending.

The Council will use the ‘diminishing notional capital’ rule to calculate the ongoing reduction in your notional capital as a result of using this in the financial assessment. The rule is that the value of notional capital reduces weekly by the difference between the weekly rate that you pay for your care and the weekly rate you would have paid if notional capital did not apply.

If someone other than you has benefitted from any deprivation of assets, they will be liable to pay all or part of the ongoing care costs. The beneficiary will receive an invoice every four weeks to contribute towards the care costs until such time as the gifted amount is diminished.

Services which are free of charge

The Council does not make a charge for a range of different forms of care and support services. This is because some services must be free of charge by law, and also because the Council has decided not to charge for some other services for which it could charge.

The services that are free of charge are:

• Reablement support services – aimed at reducing the need for ongoing care by helping people to maintain or regain the ability to live independently in their own home following an illness or a crisis. These services are free of charge for up to 6 weeks. After this period, any continuing ongoing care services provided will be subject to a financially assessed charge. No charge is made for equipment supplied to assist with daily living e.g. grab rails.
• Intermediate care - a package of care, therapy services, medical treatment and rehabilitation that is provided to people to facilitate their discharge from hospital, or to help avoid inappropriate admission to hospital, NHS in-patient care, or long-term residential care. Intermediate care is usually time-limited up to six weeks and aims to maximise independence to help people to continue or resume living at home. There is no charge for intermediate care for at least the first six weeks
• Interim care – the term used to describe a period of up to 28 days of residential care or residential nursing care provided in a designated care home to facilitate discharge from hospital or avoid admission to hospital.
• Carers Services – The Council will not charge for services provided to a carer in their own right, nor will a contribution be required towards a personal budget that is provided solely for a carer. A carer will not be charged for services that are provided directly to the person they care for that might benefit the carer for example respite and replacement care. In these situations, care charges will apply to the person with care and support needs if they are assessed as able to pay these.
• Section 117 of the Mental Health Act 1983 - Services relating to mental health aftercare commissioned under section 117 of the Mental Health Act 1983 are free of charge for those in a care home. For those accessing services in the community, if you also have social care needs as well as mental health needs and you are receiving services to meet those social care needs, this policy will apply and you will be eligible for a financial assessment to work out how much you need to pay towards your social care support.
• Care and support provided to people with Creutzfeldt-Jakob Disease (CJD)
• Any service or part of service which the NHS is under a duty to provide, i.e. the full cost of your care is fully covered by Continuing Health Care funding.
• Any services which a local authority is under a duty to provide free of charge through other legislation
• No charge will be made by the Council for the assessment of an individual’s needs, the assessment of their finances, or for any care and support planning undertaken
• Care services delivered to people in prison
• Information and advice

Services for which a charge is made

The following services will, in most circumstances, be subject to a charge that is determined by a financial assessment:

• Home care
• Day care, day activities and day opportunities
• Direct payments
• Residential and Nursing care permanent stays, and short term temporary stays in residential care and nursing homes

The following services are all charged at a standard flat-rate and are not subject to a financial assessment. They are classed as ordinary expenditure and will be payable in addition to any assessed contribution for other services. The Council may increase these charges annually in accordance with RPI, or subject to statutory increases prescribed by the Court of Protection:

• Meals provided in Council-run day services
• Appointeeship and Deputyship Charges
• Assistive Technology (however, if you have been deemed eligible for social care and support and you have a package, you will not have to pay for these services)

Appointeeship Charges

You may not be able to manage your own finances or you may not have a representative who can support you to manage your finances. In some circumstances, the Council may be able to support with the management of your finances through the Appointeeship service. The Council’s ability to support will be determined by current workloads and the level of support required.

If you are able to access the council’s appointee service you may have to pay a flat rate charge towards the cost of the service.

The flat rate charge is a contribution towards the cost of the service. The flat rate charge that you may have to contribute is dependent on the type of service you are receiving from the Council. The charges are:

• £10 per week for anyone who is in a residential or nursing home
• £12.50 per week for anyone who is receiving care and support in the community

There may be some circumstances where you will be exempt from paying the flat rate charges. These are:

• if you have capital less than £1,000
• if you are subject to section 117 aftercare which includes finances

If you are asked to pay the flat rate charge and there are extreme circumstances where the charge may cause financial hardship, you can apply for a waiver of charges. To apply for a waiver, you or a representative will need to outline your reasons for a waiver, in writing. Your request for a waiver will be reviewed by the Client Funds Team who will ensure that the guidelines for charging have been met. If this is the case, the request for a waiver will be presented to the waivers panel.

The waivers panel consists of an Assistant Director for North Northamptonshire Adult Social Care and a Strategic Finance Manager within the Finance Directorate. The panel will review your request and make a decision based on the facts that have been out- lined in your case. The outcome of the waivers panel will be communicated to you or your representative within 30 days of the request being made. The decision made by the waivers panel will be final.

Deputyship Charges

Deputyships fees will be chargeable at the set rates determined by the Court of Protection (typically this could be based on 3.5% of the capital assets if below £16,000 however other set charges may also apply depending on circumstances) and will be collected annually in arrears on the anniversary of the Court Order. Payment will be collected and paid from the managed bank account held by NNC in respect of the client.

Set-up fee - £944
1st Year - £982
2nd Year - £824
Annual Report fee - £274
Property fee - £380
Clients under £20,300 annual fee is 3.5% of assets

Charging for care and support for people living in the community

Personal Budgets

A personal budget is an amount of Council funds that is judged to be sufficient to meet the assessed unmet needs of a person who is eligible for care and support. Personal budgets enable people to have some degree of choice, control and flexibility over the services they receive. A personal budget for people receiving care in a community setting can be taken as a direct payment paid straight to the person needing care to be spent as needed, or it can be held and managed by the Council or a suitable third party and spent on behalf of the client on services that meet their needs.

The maximum contribution that someone with a personal budget recipient may have to pay after having had a financial assessment will be the full amount of their finalised personal budget this is because the Council has decided that care and support services are charged on a full cost basis and are not subsidised financially. If a person is therefore assessed to be able to meet all of their care costs, they will be charged the actual cost to the Council of these services which will be the same value as their personal budget.

If you receive a Direct Payment or Managed Budget, or a combination of the two, it will be your responsibility to pay the assessed contribution directly into a bank account set up specifically for this. The Council will make payments net of your contribution.

Under the Care act, a carers’ need for support can be met by providing care to the person they care for. Decisions on which services are provided for the carer and which services are provided for the person they care for will therefore have implications for whether a service is chargeable and who has to pay and will also have an impact on whose personal budget includes the cost of meeting those eligible unmet needs.

Financial Assessment Calculation

If you receive care and support while living in the community you will pay the full cost of your care if the value of your capital exceeds the upper capital limit of £23,250. If your capital is below this figure, any amount you pay towards your care will be based on your incomes (including any tariff income from capital over £14,250) paying only what you can reasonably afford as determined by the financial assessment rules.

The full cost of a person’s care is determined by the type and amount of care they receive. For home care this is based on the number of hours per carer multiplied by the hourly cost to the Council of the care. Additional charges for night care and support cover will also usually apply to residents of extra care schemes. For day care the full cost is calculated by multiplying the number of day’s attendance by the full cost of the day care service or activity.

The full cost of a direct payment is the total value of the personal budget if it is all taken as a direct payment. Therefore, if a person has capital above the upper limit, or has a very high income level they will not usually receive a direct payment from the Council, as they will need to fund the cost of their care themselves from their own financial resources.

If your capital is below the level of the upper threshold and you receive care and support in your own home, you need to continue to be able to pay your daily living costs so the charging rules ensure that you have enough money to meet these costs by setting protected minimum income levels which should not be reduced by care charges. These protected income amounts are set out in the Local Authority Circular each year, as an addendum to the Care and Support Statutory Guidance. These allowances vary depending on your age and personal circumstances.

Additional allowances are also made for disability related expenditure and housing-related costs (net of any benefits provided to support these costs) which the person is liable to meet in respect of their homes such as mortgage repayments, rent or ground rent, Council tax or service charges. When these amounts plus the protected income figure are deducted from a person’s weekly income, the remainder will usually be the contribution they need to make towards the cost of their care.

Where the cost of care is greater than planned, and you have been financially assessed as being able to afford that amount, then you will be charged extra. Where the actual cost of care is less than your assessed financial contribution, you will be charged the lower, actual cost of care.

People who attend a residential college will be assessed and charged as if they are in the community, rather than a residential care home. In most circumstances this will mean that no charge will be applied however, this will be confirmed in the outcome of their financial assessment.

Minimum Income Guarantee

People who are living in the community are required to be able to retain sufficient income to meet their daily living costs such as food, utilities etc. This is known as protected income. The amount to be retained is set by the Department of Health and Social Care and is dependent upon your age and personal circumstances.

As a minimum ‘basic’ levels of income support or the Guarantee Credit element of Pension Credit are taken to include the personal allowances and any premium or additional amount appropriate to the user, according to age, level of disability and family status. Examples of this are provided at Appendix A.

For the Working Age Adults who receive Employment and Support Allowance (ESA), the Council currently offer a protected income amount based upon the components of Employment and Support Allowance. Any person who transfers from Employment and Support Allowance to universal credit will have the Department of Health and Social Care disregards applied in the future automatically.

If you are receiving either Income Support, the Guarantee Credit element of Pension Credit, JSA Income Based, or Universal Credit (UC) and you receive additional income which takes you above the basic levels for example:

• Attendance Allowance (AA)
• Disability Living Allowance (DLA)
• Personal Independence Payment (PIP)
• Severe Disability Premium (SDP)
• The additional amount for severe disability for Pension Credit

The Council will include your overall income within a charge assessment. We will ensure that any charge does not reduce your net income below basic levels of Income Support or the Guarantee Credit element of Pension Credit.

It is expected that the income you are allowed to keep will cover everyday living costs such as:

• food and drink
• board and lodging
• hairdressing and hygiene
• bedding
• clothes
• spectacles
• dentistry
• alternative therapies or treatments
• prescription items
• insurances including building, contents, mortgage protection, life etc.
• utility bills such as water, gas, electricity, telephone
• domestic cleaning, gardening (other than basic gardening costs allowable as disability-related expenses) and window cleaning
• transport costs
• TV license and subscriptions to satellite or digital TV companies
• repairs and maintenance of buildings
• other expenditure, such as personal debts and arrears

This list is not exhaustive.

Disability Related Expenditure

The Council takes disability-related benefits into account in the financial assessment calculation. The current Department of Health and Social Care Guidance for charging for home care and other non- residential services specify that if we take into account your disability benefits when calculating contributions, we need to make a proportionate allowance for reasonable expenses that you may incur as a result of your disability, in order to allow you to maintain independence and dignity. 

This allowance figure is disregarded from your income in the financial assessment calculation. The relevant disability-related benefits are:

• Attendance Allowance (AA)
• Disability Living Allowance (DLA) (Care Component only)
• Personal Independence Payment (PIP) (daily living component only)
• Constant Attendance Allowance (CAA)
• Exceptionally Severe Disablement Allowance (ESDA)

If you receive any of these benefits, a standard disability related expenditure allowance will be applied to your financial assessment. The current amount is set at £23 per week and this will be applied to your financial assessment automatically as a minimum, even if you do not supply us with any details about your individual expenses. 

However, if you feel that the standard amount disregard is not enough to meet your costs, you will be offered an assessment of your disability-related expenses so that certain items can be disregarded, in line with national guidance and regulations. 

Only items where you have no choice other than to incur the expenditure in order to maintain independence will be allowed. Your Care and Support Plan should provide guidance on the level and type of support needed and therefore what Disability-Related Expenditure is justifiable, but Financial Assessment Officers can also consult Adult Social Care staff for further questions. 

Only the most cost-effective and reasonable form of expenditure on disability-related items will be allowed within the financial assessment. Disability Related Expenditure which relates to any type of support will only be included if this is being provided but does not form part of the package of care which is being financially assessed.

If your level of disability-related expenditure appears to be higher than the appropriate standard allowances, these additional costs will be considered for inclusion within the financial assessment on an individual basis, taking into account your circumstances, and referring to guidance and best practice. However, if the enhanced amount is not agreed, you will be afforded the standard amount of £23 per week as a minimum.

Evidence, e.g. receipts, will be requested to verify the expenditure. Items will be allowed based on past expenditure. If there are plans to spend a certain amount of money in the future, this will be assessed as part of a future assessment.

Examples of the type of expenditure that will be considered are:

• payment for any community alarm system
• costs of any privately arranged care services required, including respite care
• costs of any specialist items needed to meet your disability needs, for example:
  - day or night care which is not being arranged by the Council
  - specialist washing powders or laundry
  - additional costs of special dietary needs due to illness or disability (you may be asked for permission to approach your GP in cases of doubt)
  - special clothing or footwear, for example, where this needs to be specially made, or where there is additional wear and tear to clothing and footwear caused by disability
  - additional costs of bedding, for example because of incontinence
  - any heating costs, or metered costs of water, above the average levels for the area and housing type, required because of age, medical condition or disability
  - reasonable costs of basic garden maintenance, cleaning or domestic help, if needed due to your disability, and not met by social services
  - purchase, maintenance and repair of disability-related equipment, including equipment or transport needed to enter or remain in work this may include IT costs where needed due to your disability; reasonable hire costs of equipment may be included if you are waiting for supply of equipment from the Council
  - personal assistance costs including any household or other necessary costs arising for you
  - internet access, for example if you are blind or partially sighted
  - other transport costs incurred as a result of your illness or disability, including cost of transport to day centres, over and above the mobility component of DLA or PIP, if in payment and available for these costs.

In some cases, it may be reasonable for us not to take account of claimed transport costs if, for example, a suitable, cheaper form of transport, such as Council-provided transport to day centres, is available but has not been used. 

For the approved amounts, please see Appendix C. If your Disability Related Expenditure costs are more than the amounts shown, they will only be considered in exceptional circumstances and where evidence of expenditure is produced. The Financial Assessment Team will discuss these additional claims with your allocated care worker and in certain circumstances, we may ask you for proof for the different expenses, including information from your GP or other professionals.

Cancellation and Breaks in Service

If you need to cancel a service, you are expected to follow the agreement with the provider who will notify us.

If you do not receive a service in a particular week, you will not be asked to contribute the cost of that service. However, if you still receive the service for part of the week and the cost of the service received is more than your weekly assessed contribution, you will still be expected to pay your weekly assessed contribution.

Process Flow – Calculating your contribution for community based services

Our process for working out how much a person should contribute to the cost of their social care support services can be broken down into four main steps.

Charging for care and support in care homes

Care Home Costs and Top Ups

The Council will charge for care and support that is delivered in a care home on a permanent basis where you have an eligible care and support need. Weekly care home rates can vary from home to home, but the Council has a usual local authority rate that it is prepared to pay for a suitable care home placement in its local area (and will usually fund a care home placement out of area at the usual rate of the local authority in which the care home is situated).

If a person chooses a care home that has a higher weekly cost than the council’s usual rate and is not funding the full cost of their care themselves, an additional ‘top up’ may be required. In most cases, this will be from a third party (such as a family member or other person) to make up the difference between the total cost of the care home placement and the usual local authority rate.

However, in some circumstances, a resident can top up the payments themselves (First party top-up):

1. during a 12-week property disregard period
2. as part of a deferred payment agreement where the top up may be deferred against the value of an asset by way of a charge registered with HM Land Registry
3. if a person is assessed under section 117 of the Mental Health Act

If top-up payments are being made, the Council needs to be made aware of these and any other additional costs so that they are included in the council’s funding contract with the home to ensure that the person is not charged unfairly. First and third party top-up arrangements must be viable and sustainable in the longer term, and the Council will need to satisfy itself that this is so before entering into a funding contract that includes a top-up. 

A third party top up amount is paid directly to the care home who will invoice the third party separately. If the person making these extra top-up payments cannot continue to make these in the future, and the care home will not accept a lower rate, the Council may not automatically make up the difference - and may need to consider the possibility of finding an alternative less expensive home, although this would only be considered as a last resort.

Financial Assessment calculation

If you have capital above the upper limit you will be required to meet the full cost of your care home fees from your own resources and are considered to be ‘self-funding’. Special rules apply if your capital includes property that you used to live in as your home (see next sections on Self-funders and Property). The income and capital of care home residents are taken into account in the financial assessment in the same way as described earlier in this policy, and in accordance with the Care and Support Statutory Guidance - Annexes B and C.

If you live in a care home and your capital is below the upper limit, you will be financially assessed to make a contribution towards your care fees from your income. This weekly contribution is calculated by deducting appropriate disregards and allowances from the total of your weekly income. In general, you will retain at least the current rate of your personal expense allowance to spend on personal items such as clothes and other items of expenditure that are not part of your care and may also retain additional amounts in respect of any savings credit entitlement (a component of Pension Credit).

Your assessed contribution will be invoiced for by the Council every four weeks in arrears from the start date of your service. Top-up payments will be paid by the third party direct to the care home. The Council will pay the home the agreed personal budget amount.

Property

There is a general requirement that the current value of any property owned by a care home resident should be included in the financial assessment. In some cases, the value of this asset can be disregarded if the property is occupied by the person’s partner, or a qualifying relative in certain circumstances.

The value of the property if previously occupied as their home can also be disregarded for a 12-week period when the person first enters a care home as a permanent resident, or when a qualifying relative property disregard unexpectedly ends because the relative has died or moved into a care home. Further details of how property is treated in the financial assessment can be found within Annex B of the Care and Support Statutory Guidance.

Deferred payments

The deferred payments scheme allows a care home resident to delay the sale of their home during their lifetime while the Council funds their residential or nursing care fees. This funding takes the form of a loan, and a legal charge is placed on the person’s property to secure the loan.

People needing care in a care home will only be considered for deferred payments if their savings and any other capital they have is less than the upper capital threshold limit, and they do not have sufficient income to meet the full cost of their weekly care fees. There are administration charges payable for any application that is agreed with the Council.

The administration fees are currently:

• set-up fee - £105
• annual review fee - £15
• termination fee - £20

These fees may increase on an annual basis in line with any changes in the cost of administering a Deferred Payment Agreement. The fees will usually be added to the loan; however, these can be paid up front upon request.

A number of criteria needs to be met before a deferred payment can be considered and approved, and there are a number of important considerations to take into account. Further information on these is available in the North Northamptonshire Council Deferred Payment Agreement Policy (April 2015) and deferred payment fact sheet on the council’s website. It is strongly recommended that people seek independent legal and financial advice before considering an application to the deferred payments scheme.

Process flow – Calculating your contribution for residential care

Our process for working out how much a person should contribute to the cost of their social care support services can be broken down into four main steps.

Short term residential and nursing care stays

People taking short term or respite stays in residential and nursing homes will be assessed and charged as if they were receiving domiciliary care for the first four weeks of continuous duration of any one stay and will then be charged under residential rules for stays of over four weeks. If any stays are over 4 weeks in duration, the contribution will be amended and a person will be charged under residential care rules.

How does the financial assessment process work

The assessment has two main purposes: to get a full view of your financial circumstances and to give detailed advice and help with welfare benefits.

You will receive a telephone call or an email with a financial assessment form from a Financial Assessment Officer, who will obtain all relevant financial information from you. The information provided will be verified with the Department of Work and Pensions and any other relevant body. In most cases, you will be provided with the outcome of your financial assessment over the telephone and in writing.

Where necessary, a home visit can be arranged, and you may have a family member or representative present. Once the financial assessment has been completed, and if you are requested to make a contribution towards your care, you will be expected to set up a Direct Debit for all invoice payments. The Financial Assessment Officer can advise you how to set up a Direct Debit over the telephone.

The financial assessment must be completed within 21 days of the request being made. If you do not provide the necessary financial information within this time, then you will be charged the full amount of your care package from the date the care started.

How much will I have to pay

Your contribution will be calculated using your income and capital to calculate the maximum amount you will need to pay. The sum is: The amount of weekly assessable income minus the weekly allowance or disregards equals maximum chargeable income.

Appendix B shows worked examples of what someone might be paying, depending on their circumstances.

If the assessed person is one half of a couple, then we will base their financial assessment on the assessed person’s income entitlement only, ensuring that the spouse or partner has at least 50% of the couple rate of minimum income guarantee for Income Support and Pension Credit. This relates to Community Care Packages only - Once in residential care the DWP treats couples as single people, therefore there may be an entitlement to additional benefits.

If you have parental responsibility for a child who lives with you, in some circumstances we can disregard more of your weekly income by applying a disregard per child (dependent upon the amount of Child Benefit or Child Tax Credits received).

Providing evidence

You will be asked to produce up-to-date documentary evidence of all income including all state-related benefits, entitlements and allowances, bank statements, trust documents, bond information etc., as well as confirmation of any other income received. Most benefit information can be confirmed by the Department of Work and Pension Customer Information System.

When will I have to start paying

The Council aims to complete financial assessments as soon as possible and ideally within 10 working days of receipt of all the information required being provided. Confirmation of the contribution will be provided in writing.

If, due to the late return of the financial assessment information, you have already begun to be charged the full amount, any credit that is due following receipt of the financial assessment information will be applied to your account at the point the financial assessment is completed.

If we become aware that you are receiving income or capital not previously declared within your financial assessment, then we reserve the right to backdate any amended contribution to the date you started receiving this additional income or had the capital or the date of commencement of services, whichever is the later date.

A charging week starts on a Sunday and ends on a Saturday.

If you receive a Direct Payment to pay for your support, any contribution payable will be deducted before the payment is made.

If services are purchased on your behalf, an invoice will be issued every four weeks in arrears for any contributions payable.

Settlement terms for each invoice will be sent to you on a four-weekly basis. The council’s default method of payment is Direct Debit. Once you have been assessed as having eligible needs, you will be required to provide your Direct Debit details. Your allocated worker or the Financial Assessment Officer will arrange for the Direct Debit details to be collected from you and you will receive written correspondence to confirm that the Direct Debit has been set up. 

You will be sent an invoice for any care contributions 19 days before the Direct Debit payment is due to be taken from your bank account.

When will my contributions be reviewed

A financial reassessment will be completed by the Financial Assessment Team under the following circumstances:

• Yearly, as part of an ongoing reassessment schedule
• At your request, if any of your circumstances have changed
• When all welfare benefits claimed during the original assessment are being received and the Council has been notified
• If your capital has reduced to the threshold level
• If an error or omission has occurred in the original assessment 

Every new financial year, we will reassess your contribution in line with annual benefit uplifts and you will be sent a letter notifying you of your new contribution, with a breakdown of how the contribution has been calculated. If you feel that the reassessed contribution is incorrect or your circumstances have changed, you can contact the Financial Assessment Team who will review the financial assessment with you.

Refusing to pay

If you have been assessed as being able to make a contribution towards the cost of your care but you decline to do so, and as a result you are unable to access services for which you have an assessed eligible need, this will be viewed as you having declined services. If this happens, the care manager will evaluate whether you have the capacity to make this decision.

If the decision is being made on your behalf, the care manager will check whether they feel the decision is being made in your best interests.

If you receive social care services and have been assessed as needing to make a contribution, but you do not pay, then the Council will take recovery action. All customers are required to pay their assessed charges to ensure fairness for everyone else receiving services, but we will work with you if you are experiencing difficulty in making payment. While personal circumstances will be considered with sensitivity, in fairness to those people who meet their contributions, non-payment must be handled in line with our approach to dealing with non-payment of contributions. 

When all the relevant checks have been undertaken, but we consider that there has been deliberate non-compliance with the payment schedule, we have the ability to issue an intent to cease providing care until the commitment to pay has been reinstated.

If you are experiencing financial difficulties, you may be able to obtain free debt advice from one of the following organisations:

• National Debtline
  Address: Tricorn House, 51-53 Hagley Road, Edgbaston, B16 8TP
  Phone: 0808 808 4000
  Website: NationalDebtline.org
• Step Change Debt Charity
  Address: StepChange Debt Charity, 123 Albion Street, Leeds, LS2 8ER
  Phone: 0800 138 1111
  Website: Stepchange.org
• Citizens Advice Bureau (Please check locally for address and phone details)
  Phone: 0800 144 8848
  Website: Citizensadvice.org.uk
• Civil Legal Advice
  Phone: 0345 345 4 345
  Website: Civil-legal-advice (GOV.uk)

I want to give away my assets

This is known as Deprivation of Assets, where capital assets (e.g. property, savings or investments) are disposed of to avoid or reduce your contribution towards the cost of care. This could take the form of transfer of ownership or conversion of an asset into a disregarded asset, you will be treated as though you still possess the asset for the purpose of the financial assessment, this will be included as notional income or capital. This treatment applies even when the deprivation is only part of the reason for the funds being transferred.

If the Financial Assessment Officer believes that deprivation of assets may have taken place, they will take into account the timing of events leading up to this being considered a possibility. In order to obtain a full picture of events, they may require documentary evidence of the level of capital for a period of time before the assessment date.

If we find that deprivation of assets has occurred, you will be treated as if you still hold the assets and will be assessed accordingly. The Council reserves the right to decline any funding if the notional capital included in the financial assessment brings your total capital amount above £23,250.

If another person, for example a relative, has benefited from any transfer of assets, that person will be liable to contribute towards the cost of your care. They will be invoiced for the difference between your assessed contribution and the full cost of the care as long as the charges applied do not exceed the level of capital that has been gifted. This is applicable in circumstances where the Council continues to pay for your care on your behalf.

If you are considering, or have already transferred property or assets, whilst receiving care, this may affect your eligibility for funded residential or nursing care if it is needed in the future, and potentially entitlement to some welfare benefits.

Paying the charges for social care services

Methods of payment

Invoices for home care and day care or activities charges are issued four weekly in arrears, and specify the period covered and the amount due. Payment of the invoice can be made in any of the following ways:

• Online payment Payinvoice with your bank card
• Internet Banking or Bacs payment. Pay to North Northamptonshire Council, Sort Code 20-17-68, Account Number 13629015
• By phone 0300 126 8088 with your bank card. Or directly to our Debt Recovery Team on 01604 366651
• Pay with cash, cheque or card by visiting your Bank, Building Society, or local Post Office
• Pay at any Pay Point outlet. Look up your nearest location at Paypoint
• Direct Debit Set up your Direct Debit online at Payinvoice

Alternatively contact a member of our Debt Recovery Team who can set this up over the phone with you on 01604 366651.

Charges for transport to a Council-run day care centre are invoiced four weekly in arrears. Payment of the invoice can be made in any of the ways detailed above.

In the case of Direct Payments, the client contribution will normally be deducted at source from the Direct Payment, so that the person receives their payment net of their assessed charge. The charge should then be paid into the Direct Payment bank account or onto the Pre-Paid Card by the person needing care from their own income either weekly, or at four weekly intervals.

Assessed client contributions towards community based, residential or nursing care home fees are invoiced by the Council every four weeks in arrears. Respite contributions are invoiced to the client or their representative by the Council.

The Council will attempt to recover unpaid care charges using all powers available to it, including where appropriate legal action to recover amounts owed through the County Court.

Complaints and appeals

If you are unhappy with a decision regarding your financial assessment, you have the right to appeal and ask for that decision to be looked at again.

An appeal must be registered within 12 months of the decision being made. Please let us know if you are unable to raise your appeal in time as we may be able to help in exceptional circumstances.

How to appeal

You will need to explain why you are unhappy with the decision and provide as much detail as possible.

Once you have appealed, the decision will be reviewed within 30 working days. During this period your current financial assessment outcome will remain in place until a decision has been reached. We will always discuss any changes with you first. In some cases, it may be necessary for us to extend to allow for further information to be requested or for a re-assessment or review of you financial circumstances to take place.

Call us on 0300 126 3000​. E-mail us at [email protected].

Write to us

Compliments, Comments and Complaints Team
North Northamptonshire Council
Sheerness House
41 Meadow Road
Kettering
NN16 8TL

Stages of appeal

An appeal consists of 3 stages.

Stage 1 - Review the decision

The Financial Assessment Team Leader will review the financial assessment to see if an appeal is appropriate.

If an appeal is considered to be the best way forward, a member of the management team will look at how the decision was made within 30 working days from receiving your appeal.

We will discuss with you the possibility of extending the deadline if more time is needed. They will check that all relevant information was considered during the financial assessment ensure that you were treated equitably and in line with the Statutory Charging Guidance when the financial assessment was completed. The result of the review will be sent to you in writing by the responding manager.

Stage 2 - Independent review

If you are not happy with the result of the stage one review decision you may wish to take your appeal to the next step, this must be done within 10 working days.

An independent manager will be asked to undertake a review of your case within 30 working days of the request being received.

This is a manager who is independent of the Financial Assessment team and has not been involved in any decisions about your financial assessment outcome.

They will contact you and any other interested parties to understand your appeal. Their role is to consider all of the evidence available to assess whether the decision has been reached fairly and in accordance with local and national guidelines. The result of this investigation will be sent in writing to you by the independent reviewing manager.

Stage 3 - Final decision

We will make a decision considering the independent reviewer’s recommendations. The independent re- viewer's outcome and recommendations will be shared with a senior manager. The senior manager will send you a final decision summary, detailing any adjustments or changes that are required to your care and financial arrangements within 30 working days.

This is the final stage of the appeals procedure. If you are still unhappy you can then approach the Local Government and Social Care Ombudsman Service to consider your case:

• The Local Government and Social Care Ombudsman PO Box 4771 Coventry CV4 0EH
• Telephone: 0300 061 0614
• Visit the Local Government and Social Care Ombudsman for more information and to complete an online complaint form.

Glossary of terms

Appendix A – Examples of protected income

Your protected income allowance is dependent on your personal entitlement, as determined by the Department of Health each year.

If you receive Income Support or Universal Credit

Under 25 years old

1. Personal Allowance + Disability Premium = £136.45 (protected income) per week
2. Personal Allowance + Disability Premium + Enhanced Disability Premium = £160.30 (protected income) per week

Aged 25 to Pension Age

1. Personal Allowance + Disability Premium = £159.40 (protected income) per week
2. Personal Allowance + Disability Premium + Enhanced Disability Premium = £183.25 (protected income) per week

If you receive Employment and Support Allowance

Under 25 years old

1. Personal Allowance + Support Group Component = £142.30 (protected income) per week
2. Personal Allowance + Support Group Component + Enhanced Disability Premium = £166.10 (protected income) per week

Aged 25 to Pension Age

1. Personal Allowance + Support Group Component = £165.30 (protected income) per week
2. Personal Allowance + Support Group Component + Enhanced Disability Premium = £189.20 (protected income) per week

If you receive Pension Credit

Standard Minimum Guarantee = £228.70 (protected income) per week

Appendix B – How your contribution is calculated (Example)

For Community based services:

Someone aged over 70 has a total assessable income of £300 per week but has capital below £23,250

Allowable costs of £25 per week (due to disability expenses)

Protected income amount for assessment purposes of £228.70 per week Example calculation

Total assessable income £300, minus allowable costs £25 = Net disposable income £275 minus personal allowance £228.70 = maximum weekly contribution £46.30

This is the maximum amount this person can be asked to contribute towards the cost of their care, and the exact level of contribution will depend on the cost of the care provided or the value of their personal budget.

In the above example, assuming the value of the personal budget or care provided is £46.30 per week or above, the weekly contribution will be £46.30.

For Residential or Nursing Care Services:

Someone aged 75 has a total assessable income of £347.50 per week and capital below £23,250

Less Personal Expense Allowance £30.15 per week
Less the additional Savings Credit Disregard £6.95 per week
= Maximum weekly contribution £310.40 per week

Someone aged 73 has a total assessable income of £218.50 per week and capital below £23,250

Less Personal Expense Allowance £30.15 per week
= Maximum weekly contribution £188.35 per week

Appendix C – NAFAO Guidance for disability-related expenditure (DRE) amounts

Heating Allowances

Annual inflationary update based on RPI Fuel index for November 2023. At this date fuel prices had decreased by 23.1% in the last 12 months.

The figures are obtained from Consumer price inflation tables - Office for National Statistics from the download "consumer price inflation detailed reference tables”. The figures are found in Table 41 detailed reference tables - % change over 12 months.

Alternative Heating Allowances

Ofgem published annual estimates of average energy usage by house size, which can then be extrapolated to find the average energy bills by house size.

The estimate is calculated by multiplying the kWh use by the current average unit rates and adding in the current average standing charges (correct as at)

• Gas 7.51p per kWh
• Gas 29.11p per day (£106.25 per annum) standing charge
• Electricity 30.11p per kWh
• Electricity 52.97p per day (£193.34 per annum) standing charge

Income and Disregards

Mandatory minimum income disregards for non-residential care and support are published in the Care and Support (Charging and Assessment of Resources) Regulations 2014, replacing fairer charging allowances. Rates for 2024/25.

Residential Care

Personal Expenses Allowance is £30.15

Single Adults

Couples

** Where one partner is over state pension credit age the Pension Age MIG applies whether the person being assessed is under or over that age.

Children

For each child the adult is responsible for that is a member of the same household an additional allowance of £101.25.

Non means tested disability benefits

If local policy on DLA or AA disregard applies on higher rate DLA or AA, disregard difference between higher and lower rate £35.90, unless in receipt of both day and night care.

Armed forces and war pension payments to veterans

War pensions and Guaranteed Income Payments under the War Pensions and Armed Forces Compensation schemes are disregarded in full apart from constant attendance allowance.

Armed forces and war pension payments to war widows and widowers

£10 a week disregard of War Widows and War Widowers pension, survivors Guaranteed Income Payments from the Armed Forces Compensation Scheme, Civilian War Injury pension, any War Disablement pension paid to non-veterans and payments to victims of National Socialist persecution (paid under German or Austrian law)

Assets

Capital below £14,250 fully disregarded.

Tariff Income of: £1 per week for every £250 (or part of £250) above £14,250 and up to £23,250 (if the upper capital limit is applied.). N.B. These are the minimum limits required by guidance and councils can set higher.

Expenses

Costs of Disability

Figures were only attached to fuel costs in the FC Guidance and the following are recommended allowances for possible identified items and examples of reasonable evidence requirements prepared by NAFAO. A 3.9% uplift has been applied based on the November 2023 CPI rate.