Elderly face losing entire life savings

An official review of the social care system had recommended the introduction of a cap of £35,000 on the maximum people have to pay towards a nursing home. This would stop tens of thousands of people having to sell their homes to fund their care. But it was revealed today that the move is never likely to happen because it would cost too much.

Joint evidence published today by the Government departments of Health, Work and Pensions, and Communities and Local Government said they are "unable to commit" to the £35,000 cap.

The move is a massive blow to people approaching retirement age who may need care in the future but who have savings that they would like to pass to theit children.

Today's joint report states:?"Any such system will have a cost. At this time, the Government is committed to reducing the structural deficit, and we are unable to commit to introducing a new system.

Pressures

"The Government needs to take a broad view of all priorities and pressures before coming to a final decision."

The failure to cap care costs will lead to a growing number of people losing their life savings, the departments added.

Their joint report adds:?"The state only provides social care support to those with the least ability to pay.

"This leaves those with some wealth with the risk that they could lose almost all of it, if they need care. With an ageing population, more people, and their families, will face this problem."

By 2030, the number of pensioners is forecast to rise by 51 per cent, with the number of people over 85 more than doubling. The Government has already increased the retiirment age as it struggles to pay for Britain's ageing population.