Can you avoid care fees by giving assets away?
Not reliably, and attempting it can backfire. If a local authority decides you have deliberately deprived yourself of assets, such as giving away a home or savings, to reduce what you pay for care, it can assess you as if you still held that capital, known as notional capital (gov.uk, charging for care and support 2026 to 2027, subject to change). This is why deliberately giving assets away to sidestep care fees is not a safe route and can be challenged.
Legitimate care fees planning looks different. It focuses on understanding the means test, checking eligibility for NHS continuing healthcare where health needs are significant, using an estate planning guide to see how a will and property ownership interact, and taking advice before acting. The aim is to understand and mitigate the impact of care fees within the rules, not to deliberately avoid a charge the law expects you to meet. Because the rules are detailed and mistakes can be costly, one option many people consider is discussing their position with a suitably qualified professional.
Scotland and Northern Ireland
The figures above describe England. The other UK nations run their own systems and set their own limits. Scotland provides free personal and nursing care payments for eligible people and applies different capital thresholds, so the means test works differently there. Northern Ireland and Wales operate separate charging rules and capital limits again. If care may be arranged outside England, it can be worth checking the current figures for the relevant nation on the appropriate government website, as they change and are set separately.
Sources and methodology
This page uses named official statistics and one clearly-attributed secondary consumer source, each verified at the time of writing. Council fee averages come from the Department of Health and Social Care Market Sustainability and Improvement Fund provider fee reporting, which records fees councils reported paying for clients aged 65 and over. Self-funder figures are from Which? and are used only as a secondary reference.
- MSIF provider fee reporting 2025 to 2026 (published August 2025), care home fees for clients aged 65+: gov.uk.
- MSIF provider fee reporting 2024 to 2025 (published October 2024), prior-year fees: gov.uk.
- Social care charging local authority circular 2026 to 2027, capital limits and personal expenses allowance: gov.uk.
- Which? care home costs (January 2026), self-funder averages, secondary source: which.co.uk.
All figures are as at July 2026 and subject to change. Averages hide wide regional variation and differ by home and by care need.
Frequently asked questions
How much are care home fees in the UK?
Council-reported averages for people aged 65 and over were £956 a week for a care home without nursing and £1,089 with nursing in 2025 to 2026 (gov.uk, MSIF 2025 to 2026, as at July 2026, subject to change). Self-funders were quoted more, around £1,300 to £1,512 a week (Which?, January 2026). Costs vary by region.
How fast are care home fees rising?
Across the two most recent reporting years, average council-paid fees for people aged 65 and over rose by 5.3% for care without nursing and 4.9% with nursing between 2024 to 2025 and 2025 to 2026 (gov.uk, MSIF 2025 to 2026, as at July 2026, subject to change). Rises can differ year to year, so this is not a guaranteed rate of future increase.
How much money can you have before paying for care?
In England, if your capital is above the upper limit of £23,250 you are generally expected to pay the full cost of residential care; below £14,250 your capital is not counted, with a sliding scale between (gov.uk, charging circular 2026 to 2027, as at July 2026, subject to change). Scotland, Wales and Northern Ireland set their own limits.
Why are the care fee capital thresholds a problem?
The capital limits of £23,250 and £14,250 are unchanged for 2026 to 2027 (gov.uk, charging circular 2026 to 2027, as at July 2026, subject to change), while reported fees rose near 5% (gov.uk, MSIF 2025 to 2026, as at July 2026). Because fees can rise while the limits stay put, savings just above £23,250 can be used up before council support begins.
Does attendance allowance help with care home fees?
Attendance Allowance is a benefit for people over State Pension age who need help with personal care, paid at two weekly rates depending on the level of help needed, and it is not means-tested on income or savings (gov.uk, Attendance Allowance, as at July 2026, subject to change). It can contribute towards costs, though the amounts are modest against weekly care fees, and different rules apply if a council fully funds your care.
Does giving your home away avoid care fees?
There is no reliable way to place a home beyond the reach of a care assessment, and deliberately giving assets away can be treated as notional capital and challenged by a local authority (gov.uk, charging circular 2026 to 2027, subject to change). Care fees planning is about understanding and mitigating the impact within the rules. Many people choose to take advice before acting.
About Fairchild Oldfield
The Fairchild Oldfield team brings together estate planning, tax, independent financial advice and client care, working with families across England and Wales.
Fairchild Oldfield are estate planning specialists and will writers, not a firm of solicitors. This article is general information based on practical experience, not legal, tax or financial advice.
Important: This article is general information only and is not legal, tax or financial advice. Reading it does not create a professional relationship. It is based on the law of England and Wales, and other UK jurisdictions differ. Figures and rules are current as at July 2026 and are subject to change. Before acting, many people choose to seek advice from a suitably qualified professional, such as a solicitor, a STEP practitioner, an accountant, or an FCA-authorised financial adviser, who can consider your individual circumstances.
