Care costs
Capital limits for care costs
When a council works out how much your parent contributes toward their care, it looks at their capital (broadly: savings, investments and, depending on the type of care, sometimes property) against two thresholds.
In the 2026/27 tax year, in England:
Lower capital limit: £14,250
Upper capital limit: £23,250
What the two limits mean
- Below the lower limit. Your parent's capital isn't counted at all when working out what they contribute from savings.
- Between the two limits. They're assessed as contributing a tapered amount from their capital, alongside any income-based contribution.
- Above the upper limit. They're generally expected to meet the full cost of their care themselves, based on this financial assessment.
This is a general shape, not a full account of every rule. The exact calculation involves other factors too, including what income is taken into account and how property is treated for different types of care. Ask the council for a written breakdown of your parent's specific assessment rather than relying on the limits alone.
Check the current figure
These limits are reviewed and can change every April. Before relying on the figures above, check the current position at GOV.UK's local authority circulars collection, which publishes the annual social care charging circular for England.
Sources
- Social care charging for care and support 2026 to 2027: local authority circular (GOV.UK) Published by the Department of Health and Social Care, February 2026. Confirms the capital limits for the 2026/27 financial year.
More free guides
- Mental capacity, what it means and what it doesn’t
- Carer’s assessment, how to ask for one
- Reablement and intermediate care, explained
- The NHS Continuing Healthcare checklist
- Who to contact, helplines and escalation routes
The 8 questions, free
The questions worth asking before anyone leaves the ward, sent straight over. After that, only an email when something on these pages changes. Rates and thresholds move every April.
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These pages are the free resources for They’re Sending Her Home On Friday, a sourced guide to hospital discharge for families. It is on Amazon as an ebook or a paperback, alongside its companion workbook, The Discharge File.