Kames Capital has called for greater transparency from the Dilnot report, claiming it has left many questions unanswered.
Kames and Target Advisers, which run the £75m Kames target healthcare fund, are calling on the Commission on funding for care and support to provide greater clarity into its proposals for funding long term care in the UK.
The report, which was relayed to the Government in July 2011, has proposed that an individuals lifetime contribution towards their social care costs should be capped at £35,000 and that once this limit is reached a person is entitled to full state support. It also calls for the means tested threshold, above which people are fully liable for full care cost, to be raised from £23,250 to £100,000.
Kames target healthcare fund manager Gillian Bowman says: “We welcome the fact that care funding is still on the political agenda. But given the UK’s demographics, with the number of very elderly and those with chronic illnesses and dementia increasing dramatically there is growing demand for care. Good care comes at a price and there is an urgent need to clarify how it will be funded going forward. There are a lot of unanswered questions in the Dilnot report and we look forward to seeing more details.”
Target Advisers LLP is a specialist advisory and property management services provider to the healthcare investment sector. Managing director Kenneth MacKenzie says: “Dilnot’s proposals only cover the care element of the costs, which represents approximately 30 per cent of the total fees of the residential sector. How will the extra 70 per cent towards the cost of the accommodation be funded?
’We also need to have clarity on what processes will be put in place to ensure there is a fair and proper way of means testing those entering care with savings above the proposed limits.”