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Care Fees

How Much Does a Care Home Cost in the UK in 2026?

National averages hide the number that matters: a self-funder pays far more than the council does, and a full stay can quietly take six figures from an estate.

8 min read · Written by the Fairchild Oldfield team · Last reviewed: August 2026

~£1,300
The rough average weekly cost of self-funded residential care in the UK in 2026. Nursing care averages nearer £1,500, and dementia or London homes cost more.
Source: care sector fee surveys (carehome.co.uk, LaingBuisson), as at August 2026, subject to change.

The cost of care homes in the UK in 2026 runs from roughly £1,300 a week for residential care to £1,500 or more for nursing care, and higher again for dementia care or homes in the South East. Two figures decide what your family actually faces: the weekly rate, and how long the stay lasts.

Most guides stop at the weekly average. The part that empties an estate is the multiplication, and the gap between what a self-funder pays and what the council pays for the same room.

How much does a care home cost per week and per year in 2026?

In 2026 a UK care home typically costs about £1,300 a week (£67,600 a year) for residential care and around £1,500 a week (£78,000 a year) for nursing care. Dementia care commonly runs £1,400 to £1,800 a week. These are self-funder averages, and actual quotes vary widely by home and area.

The main split is between residential care (help with daily living, meals and personal care) and nursing care (the above plus a registered nurse on site). Homes that specialise in dementia usually charge more again because the care is more intensive.

Type of care (self-funder)Typical weekly costRoughly per year
Residential care£1,300£67,600
Nursing care£1,500£78,000
Residential dementia care£1,350£70,200
Nursing dementia care£1,600£83,200

Figures are rounded UK averages from care sector surveys (carehome.co.uk, LaingBuisson), as at August 2026, subject to change. Individual homes may charge more or less.

Why do self-funders pay more than the council?

A self-funder often pays 20% to 40% more than the local authority pays for the same care home, sometimes the same room. Councils negotiate lower block rates, and homes make up the shortfall by charging private residents more. This cross-subsidy is why the "average" you read rarely matches the quote you are handed.

Council-funded residential care averages around £908 a week, against roughly £1,300 for a self-funder. On nursing care the gap is narrower but still real. If you are paying your own way, budget from the self-funder figures, not the national blend.

It also means the headline "average" is misleading in both directions. Ask each home directly for its self-funder weekly rate in writing, and check what triggers an annual increase.

How do care home costs vary by region?

Region changes the price more than almost anything else. Self-funded residential care averages around £1,550 a week in London and the South East, against roughly £1,100 in the North East. A move of one county can shift the annual cost by £20,000 or more.

London and the South East sit well above the national average; the North East, North West and parts of the Midlands sit below it. Where a home is scarce, or land is expensive, fees rise.

Area (self-funded residential)Typical weekly cost
London~£1,550
South East~£1,450
Midlands~£1,250
North East~£1,100

Indicative regional averages from care sector surveys, as at August 2026, subject to change.

What is included in care home fees?

A standard weekly fee usually covers accommodation, all meals, utilities, personal care and general activities. Some services are commonly charged on top, so the quoted rate is rarely the whole bill. Always ask for the fee to be broken down before you sign.

  1. Usually included: the room, meals and drinks, heating and utilities, laundry, personal care, and day-to-day activities.
  2. Often extra: hairdressing, chiropody, physiotherapy, outings, newspapers, and a private phone or premium TV.
  3. Sometimes extra: a larger or en-suite room, a "top-up" for a better location, and one-to-one supervision where needs are high.

Who pays: how does the care home means test work?

The council assesses only the person needing care, on their own capital and income. In England, capital above £23,250 means you self-fund in full; between £14,250 and £23,250 you contribute through "tariff income"; below £14,250 only your income counts. A partner's own savings are not assessed.

Tariff income assumes £1 a week for every £250 of capital between the two limits. These England limits have been frozen since 2010, and the planned £100,000 upper limit and £86,000 care cost cap were both cancelled by the government in July 2024.

Capital (England)Who pays
Over £23,250You fund care in full (self-funding)
£14,250 to £23,250You contribute, plus £1 a week per £250 of tariff income
Under £14,250Capital is ignored; only your income is assessed

Source: gov.uk local authority charging figures 2025 to 2026. Wales uses a single £50,000 capital limit for residential care; Scotland uses an upper limit of £35,500 (with free personal care); Northern Ireland uses £23,250. As at August 2026, subject to change.

A person's home is disregarded while a spouse, partner or dependent relative still lives there, and for the first 12 weeks when a sale would be needed. See how a property is treated in care funding for the detail.

What help with care home funding is available?

Even above the means-test limit, several routes can reduce the bill: NHS funding where health needs dominate, a nursing care contribution, council funding once savings fall, a family top-up, or a deferred payment against the home. Each has its own test, so it is worth checking all of them early.

  1. NHS Continuing Healthcare. Where care is driven mainly by health needs, the NHS may fund the whole cost, with no means test. It is under-claimed and worth requesting an assessment.
  2. NHS-funded Nursing Care (FNC). In a nursing home, the NHS pays a flat weekly contribution towards the nursing element, £267.68 a week in England from April 2026, paid to the home, not means-tested (gov.uk, as at August 2026, subject to change).
  3. Local authority funding. Once capital falls below £23,250 in England, the council pays towards a place up to its usual rate. You keep a Personal Expenses Allowance (£30.65 a week in England for 2025 to 2026).
  4. Third-party top-up. If the family wants a home the council will not fully fund, a relative can voluntarily pay the difference. Document it with the council, not just the home.
  5. Deferred payment agreement. The council funds care and places a charge on the person's home, repaid later from its sale, avoiding a forced sale in their lifetime.

What does a full care home stay actually cost?

The weekly figure is not the number that matters; the total is. With an average nursing stay often lasting two to three years and fees rising around 5% a year, a stay can cost roughly £200,000. That total, not the £1,500 a week, is what reshapes an inheritance.

Worked example: a two-and-a-half-year nursing stay

Nursing home at £1,500 a week, fees rising about 5% a year, a stay of 2.5 years:

  1. Year 1: £1,500 a week × 52 weeks = £78,000.
  2. Year 2: fees rise ~5% to £1,575 a week × 52 = £81,900.
  3. Final six months: fees rise ~5% again to £1,654 a week × 26 = £43,000.

Total: about £203,000 over two and a half years.

Illustrative only. Length of stay varies widely (many stays are shorter, some far longer), and fee inflation has run 3% to 8% a year. As at August 2026, subject to change.

The lesson is planning around length, not just weekly rate. A modest difference in the weekly fee, compounded over years, is the difference between a preserved inheritance and a spent one.

How do care costs affect your estate, and what can planning do?

Care fees are paid from the resident's own assets first, so a long stay can significantly reduce what passes on. Sensible planning can help with limiting the impact of care fees, but it cannot make assets vanish: giving the house away to dodge a future bill can be treated as deliberate deprivation and reversed by the council.

Because fees come out of capital, a large care bill often reduces the estate below the inheritance tax thresholds anyway (the nil-rate band is £325,000 and the residence nil-rate band up to £175,000, both frozen until 5 April 2031, gov.uk, subject to change). Spending down assets on care is not tax planning; it is simply cost.

What genuinely helps is preparation, not schemes. A valid, up-to-date will and a registered lasting power of attorney let a trusted person manage funding decisions and negotiate with a home if capacity is lost. Understanding how a deferred payment or the property disregard works can keep a home from being sold unnecessarily. Any plan touching inheritance tax or trusts should be part of considered estate planning, weighed on its own merits, not sold as a way to shelter assets from care fees.

Frequently asked questions

How much does a care home cost per month in the UK?

In 2026, self-funded residential care averages roughly £5,600 a month and nursing care around £6,500 a month in the UK, based on weekly rates of about £1,300 and £1,500. Dementia care and homes in London cost more (care sector surveys, as at August 2026, subject to change).

Do you have to sell your house to pay for care home fees?

Not always. Your home is disregarded while a spouse, partner or dependent relative still lives there. Where a sale would otherwise be needed, a deferred payment agreement lets the council fund care against the property so it is not sold during your lifetime (gov.uk, as at August 2026, subject to change).

How much savings can you have before paying for care?

In England, you self-fund in full once capital is above £23,250, and contribute on a sliding scale between £14,250 and £23,250. Wales uses a £50,000 limit and Scotland £35,500. Below the lower limit, only your income is assessed (gov.uk, as at August 2026, subject to change).

Does the NHS pay for care home fees?

It can. NHS Continuing Healthcare funds the full cost, with no means test, where care is driven mainly by health needs. In a nursing home, NHS-funded Nursing Care pays a flat £267.68 a week towards nursing from April 2026. Both are worth requesting an assessment for.

Why are care home fees so expensive?

Fees cover 24-hour staffing, accommodation, food, utilities and regulation, and self-funders often pay 20% to 40% above the council rate to offset the lower rates councils negotiate. Rising staff and energy costs have pushed annual increases to 3% to 8% in recent years.

About Fairchild Oldfield

The Fairchild Oldfield team brings together estate planning, tax 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, financial or care advice.

Important: This article is general information only and is not legal, financial or care-funding advice. Reading it does not create a professional relationship. It is based on the law of England and Wales, and other UK jurisdictions may differ. Care costs, thresholds and rules are current as at August 2026 and are subject to change. Care funding decisions turn on individual circumstances, and many people choose to seek advice from a suitably qualified professional, such as a solicitor, a STEP practitioner, or a specialist care-fees adviser, before acting. You can see how we work on our pricing page.

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