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This item was published during the term of a previous administration that ended in April 2007

Resident and carer in care home

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Reminder against inappropriate 'top up' fees

10/06/2005

The Exeutive has today written to local authorities and care home owners to remind them of the rules that exist to protect care home residents being charged 'top-up' fees inappropriately.

Deputy Minister for Health, Rhona Brankin took the action following a survey commissioned by the Executive to look at the use of top-up fees in care homes showed that, although it is not happening across the board, in some areas a significant number of care home residents are paying top-up fees.

The Minister said that it is unacceptable for residents to be asked for top-up fees to cover their basic care costs and that the Executive will work with local authorities and the care home sector to resolve the issue.

Ms Brankin said:

"Following media reports into the widespread inappropriate use of top-up fees, I asked my officials to survey local authorities on their awareness of the issue. While the survey does not show topping up happening across the board, it has confirmed that in some areas, significant numbers of care home residents are paying top-up fees, both within and outside the existing guidance.

"Where residents are being asked to top up fees for standard care home services, that is wholly unacceptable. The decision to move to a care home can be an emotional and difficult time for older people and their families. Additional pressure to use top-up fees to pay for standard care makes this even more difficult.

"I have issued a letter today to local authorities and care homes to remind them of the existing rules on the use of top-up fees in care homes.

"Top-up fees should only be used if a resident chooses a care home place which is more expensive that what they are assessed as needing.

"And where a top-up has been agreed, the money should never be taken from protected resources like the 'personal expenses allowance'. We will be working with local authorities and representatives of the care home sector to resolve any issues they might have and to ensure rules are followed.

"In my letter I will also be drawing their attention to the recent Office of Fair Trading report into the UK care homes market. It examined the availability of information that is provided to residents and carers, the transparency of fees and clarity about the rules on top-up fees and asked for views on their recommendations.

"I will be deciding on actions to improve the protection for residents from pressure to top-up their fees, as part of the Executive's response to the OFT report. I have invited local authorities to give me their views on the OFT report to help inform an official response from the Executive in due course."

The OFT report, published on May 18, examines the following issues:

  • The context in which older people and their relatives make choices about a care home and how this affects competition in the market
  • The ease with which prospective residents and their representatives can obtain sufficient clear and accurate information on fees and extra charges
  • Whether contracts offer sufficient transparency and protection against unreasonable price increases
  • Price transparency for both self- and publicly-funded residents, including core fees, top-up fees and payments for additional extras

Although the report looks at care homes from a UK perspective and some issues will be different in the Scottish context, it is a helpful addition to our understanding of how the care homes market treats individuals.

The Executive provides a free comprehensive advice booklet entitled 'Thinking About Moving into a Care Home' which details people's rights to have their needs assessed, their right to choose their care home and how their financial contribution is calculated.

The Executive has also provided £145,000 for 2005/06 for the continuation of the Scottish Helpline for Older People which provides support on community care.

Page updated: Friday, June 10, 2005