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Govt faces ‘immoral’ accusations over LTC reforms

Apfa has accused the Government of “borderline immorality” in its representation of reforms to long-term care funding.

The Care Bill, published last year, sets out plans to cap LTC costs at £72,000 and increase the means-test threshold from £23,250 to £118,000 from April 2016. The cap does not, however, cover hotel and accommodation costs.

Speaking at a roundtable event hosted by Aegon last week, Apfa director general Chris Hannant said: “The dishonesty that surrounds long-term care is borderline immoral. To tell people that if you put aside the £72,000 or can get that from [selling] your house everything is covered is just not the case and people should not be given that impression.

“If people are going to make sensible provision for themselves they need to be told the limits of what the Government can and can’t do.”

Hannant also called for greater honesty about the requirement for people to save more to fund their retirement needs. He said: “Government needs to be more honest with people on what living on their pension is actually going to be like. It must resist the temptation to say everything is sorted with auto-enrolment.

“Auto-enrolment will give them a base but not comfort. Government should also be clearer that the state pension is just a safety net. The fact is lots of people will retire poor.


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  1. APFA’s utterances have become so insignificant that nobody can be bothered even to comment on them any more.

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