Care home costs are soaring due to higher energy bills, food costs and staff salaries, research has revealed. Pensioners are now paying a staggering £46,000 a year for a care home place, figures show. But some residential homes have raised their fees by more than 30 per cent annually, according to research by the UK Care Guide.
The average annual cost now stands at a record £45,897, with the typical overall rise standing at 11 per cent.
Brighton recorded the largest increase, with yearly costs increasing by 15 per cent to £53,000, the study found.
Self-funding care home residents in Edinburgh are now paying £50,494 for a bed, an increase of 12 per cent between February 2022 and February 2023.
William Jackson, of the UK Care Guide, said: “While it is not surprising that the cost of running a residential care home has increased, the real concern is the significant uplift in cost that residents and their families now face, as well as increases they face in the coming years. This won’t abate any time soon and the majority of care homes warn they are likely to increase costs again this year so, unfortunately, those that might need a care home in the next few years will almost certainly be paying more.
“Over the past year we have seen an increase in people looking at live-in care as an alternative to residential care.
Alice Watson, of pension experts Canada Life, said: “Despite an upcoming cap on costs, people are still concerned how they might be able to bridge the gap between their own financial position and the potential cost of care.
“This might be due to the personal experience of those who have worked within the current system with their relatives.
“It’s also worth remembering that any cap on costs doesn’t include all the costs of care. It won’t include rent, food and utility bills.”
There are plans to introduce a cap on the care costs, which force many pensioners to sell their homes to pay the bills.
The cap will ensure that nobody pays more than £86,000 for social care in their lifetime.
But in his Autumn Statement Chancellor Jeremy Hunt postponed the introduction until 2025. The reforms were first outlined in 2021 and were due to come into effect in October 2023.
