Nursing home fund plan may leave elderly 'with nothing'

PROPOSALS TO fund long-term nursing home care could leave older people "with nothing" because of the way charges will be levied, and a cap on funding.

Referring to the provisions in the Nursing Homes Support Scheme Bill, Dan Neville (FG, Limerick West) told the Dáil that "somebody with a small amount of land valued at €100,000 could have it all confiscated if he or she was in a nursing home for five, six or seven years".

Mr Neville said "under the existing system, people receive some contribution to the cost of their care, even if this must be supplemented by the person's family. Under the new proposal in this Bill, older people could be left with nothing and with no certainty about when funding might be available."

He pointed to the charges to be levied, under which a person is expected to pay up to 80 per cent of assessable income and up to 5 per cent of the value of any assets in excess of €36,000, on a continual basis.

The deferred contribution on a family home would be capped at 15 per cent of the value of the principal residence for a maximum of three years, but the charge on other assets "will apply for the duration of care".

He was concerned that State funding would be capped, especially when weekly charges ranged from €607 to €966. "This will inevitably lead to waiting lists for support."

Brendan Kenneally (FF, Waterford) welcomed the "groundbreaking" legislation as a "novel way of doing things, because it involves recouping in retrospect a portion of people's assets to pay for their nursing home care when they have passed on".

He said this was "a very reasonable and forward-thinking measure and should give our elderly peace of mind, because it allows them to delve into the value of their asset to ensure they will be properly cared for and looked after in their old age".

He added that, "it is a means by which people can have their cake and eat it".

Jack Wall (Labour, Kildare South) reflected his party's opposition to the Bill because of the principle of universality, claiming the Bill was fundamentally flawed. "I remain of the opinion that one's home is one's castle and that there should be no interference by the Government or anybody else which serves to undermine that ownership by predetermining what costs should be placed against it."