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Behind the headlines: Death of the long-term care cap

In April the Conservatives wrote into their manifesto a pledge to cap the costs of long-term care. Just three months later, the party announced the £72,000 cost cap would not be coming in April 2016 as planned, but April 2020. Former care minister Norman Lamb told Money Marketing to see the move as anything other than the reforms being abandoned as “naivety in the extreme”.

In this Behind the Headlines episode, Money Marketing editor Natalie Holt talks to think tank Strategic Society Centre director James Lloyd about what advisers can do now to help clients prepare for the cost of later life care.

Lloyd, who has worked at the Prime Minister’s Strategy Unit and written influential papers on long-term care, says before the Government’s recent announcement people were already beginning to question whether the cap was all it was cracked up to be.

He also discusses the key products that may now come to the fore to plug the care cost gap, such as immediate needs annuities and equity release.

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When the cap doesn’t fit: Has the Govt killed off long-term care reform?

Hopes of a long-term care cap may be dead in the water, according to a former minister, despite protestations to the contrary from the Government. Last week, the Government announced the introduction of a £72,000 limit on the cost of care will be pushed back from April 2016 to 2020, delaying the full implementation of […]

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Long-term care cap pushed back to 2020

The Department of Health is delaying its plans to implement a £72,000 cap on the cost of long-term care. The cap was expected to come into force from next April, but has now been delayed until 2020. Care and support minister Alastair Burt says: “A time of consolidation is not the right moment to be […]

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