Cynon Valley people in residential care to keep more of their money

Local AM  Vikki Howells has welcomed the Welsh Government’s increase in the  amount of money people in Wales can keep when in residential care from £40,000 to £50,000, effective from April 2019.

At the Assembly elections in 2016, Welsh Labour pledged to increase the amount of money people could keep (the capital limit) from £24,000 to £50,000k.  This increase means that the pledge has now been met.

Cynon Valley AM Vikki Howells said:-

“I welcome this latest announcement which shows that Welsh Labour is delivering on our promise to the people of Wales.

“Many people in Cynon Valley are worried about the costs of care and the thought of having to use their life savings or sell their homes to pay for care.

“Welsh Labour has always stood up for older people in Wales. That why we promised to more than double the capital people can keep when in residential care – freeing up more of people’s money for them to use as they wish.

“We have now achieved this”.

From April 2017 the limit was raised to £30,000, supported by an additional £4.5 million per annum being added to the Revenue Support Grant (RSG) to enable local authorities’ in their implementation of this policy. From this April the limit was increased further to £40,000, with an additional £7 million per annum being added to the RSG to make funding of £11.5 million per annum in total.

The success of this policy can be seen through the direct impact it is having on care home residents in Wales. Over the eighteen months since the Welsh Government introduced the first increase, around 1,500 care home residents have benefited. This is a significant achievement in a relatively short timeframe.