Concerns have been raised about the role of financial advisers in long-term care funding after the Care bill failed to explicitly state local authorities must point people to regulated advisers.
In the Care bill, published last week, the Government says local authorities must signpost people looking for long-term care towards “independent” financial advice.
Money Marketing understands this refers to financial advice independent of the local authority rather than to a regulated financial adviser.
The bill states anyone looking for long-term care must be shown “how to access independent financial advice on matters likely to be relevant to adults who have needs for care and support or are making plans for meeting needs for care and support that might arise”.
Partnership director of corporate affairs Jim Boyd says: “I don’t know what independent means in this context. If it is financial advice then the implication is it must be financial adviser but if it is a watered down version of regulated financial advice then it is a mater of concern. There is the whole bill process to go through with MPs and Lords committed to regulated financial advice being the standard so we hope to make sure that this benchmark is explicitly included.”
Society of Later Life Advsiers president Lord David Lipsey, who sat on the committee to scrutinise the draft bill, says: “The gold standard is regulated financial advice, preferably by SOLLA advisers and I’m sure ministers will be pressed to give assurances.”