Funding Homecare in the UK: What Support Is Available?

Sorting care for a loved one is hard enough without the added stress of figuring out how to pay for it. Whether you’re just starting out on your homecare journey or looking to explore what financial help is out there, we’ve broken it all down for you.

From Government allowances to NHS support and local council schemes, here’s your complete guide to funding options when arranging care at home for yourself or a loved one.

1. Carer’s Allowance

Best for: Family members providing 35+ hours of care a week

If you’re caring for a parent or loved one full-time, you might be entitled to £83.30 per week through Carer’s Allowance (as of April 2025). You’ll need to be:

• Over 16 years old
• Spending 35+ hours a week providing care
• Earning £196 a week or less (after deductions)
• Not in full-time education

Even if you qualify, it’s worth noting this is a taxable benefit and could affect other benefits either of you receive. Still, it also opens up access to other support like:

• National Insurance credits
• Universal Credit top-ups
• Council Tax Reduction

💡 Top Tip: You don’t have to live with the person you care for – and even if you both share care duties, only one of you can claim this allowance.

2. Attendance Allowance

Best for: People over State Pension age who need help with personal care

If your loved one is aged 66 or over and needs extra support due to a long-term physical or mental condition, they may be eligible for Attendance Allowance – up to £110.40 a week, tax-free.

There are two payment rates:

• £73.90 per week – for those who need frequent help during the day or supervision at night
• £110.40 per week – for those who need help both day and night, or who are terminally ill

It doesn’t cover mobility needs, and it’s not means-tested, so savings and income aren’t a factor. It can also unlock extra support like Pension Credit or Council Tax Reduction.

3. Social Services Funding

Best for: People with savings under £23,250

If your parent or loved one has limited assets, they may qualify for means-tested help from their local council. This starts with a Community Care Assessment arranged through your local Adult Social Services team.

Here’s how it works:

• If eligible, the council will cover part of the homecare costs
• You can then choose to top this up to access more flexible or higher-quality care
• The funding can be received as a Direct Payment, which you use to arrange your own care services

It’s a great way to take control of the care being delivered, rather than being limited to council-arranged providers.

4. Personal Health Budgets

Best for: People with ongoing health needs managed outside of hospital

A Personal Health Budget is an NHS-backed way to receive tailored care that supports your physical and mental wellbeing. You’ll agree a care plan with your health team, and then receive a budget to manage how that care is delivered.

You can choose to:

• Let the NHS manage the services
• Appoint a third-party organisation
• Or take Direct Payments to arrange care yourself

These budgets can’t be topped up with your own money – but they’re fully funded by the NHS and offer a lot of personal control.

Why choose Direct Payments?

• You hire the carers you want
• You set the times that suit your lifestyle
• You can focus the care on social inclusion too – not just physical health

5. NHS Continuing Healthcare

Best for: People with complex medical needs

Some people with long-term or serious health conditions may qualify for free care arranged and funded entirely by the NHS. This is known as NHS Continuing Healthcare, and it can cover:

• Nursing or personal care
• Homecare support
• Medical equipment
• Accommodation (if needed)

To qualify, your loved one needs to undergo an assessment to determine if their needs are primarily health-related (not just social care). There’s also a fast-track process for those nearing the end of life or whose condition is rapidly worsening.

Need Help Finding the Right Option?

Navigating care funding can be confusing, especially when every situation is unique. If you're not sure which route applies to your family, the best place to start is by speaking to:

• Your local Adult Social Services team – for assessments and council funding
• Your GP or NHS team – for Personal Health Budgets or Continuing Care
• Carers UK and Age UK – for friendly, practical advice

And of course, our team at Right at Home Swindon is always here to offer guidance.

Planning Ahead?

We also have a full breakdown of how much homecare typically costs and what goes into your quote. Check out our guide to homecare costs to learn more.

💬 Still unsure about funding your care? Reach out to us and we’ll be happy to walk you through the options.