After being kicked into the long grass on several occasions since first being proposed, Chancellor Rachel Reeves has confirmed what we have suspected for a while - that the proposed ‘lifetime’ cap on costs paid by an individual for their care - is to be abolished.

The proposal had suggested that across a lifetime, an individual would not have to pay more than £86,000 towards their care - although it was not widely understood that for people receiving care in a care home setting, there would still be ‘hotel costs’ of their stay.

With confirmation that there will be no cap on care fees, funding of care will be for individuals to meet in full from their own resources until they are below the relevant means-tested thresholds.

This is a source of concern for many who want to ensure that they leave a hard-earned inheritance to their loved ones. However, if care is needed, it has to be paid for. I for one would much rather know my loved ones have the care they need than any prospect of an inheritance.

The reality is that care fees will significantly impact the estates of many people and there is not much that can be done to protect against this possible cost, due to rules around ‘deliberate deprivation’. 

However where there is a couple, and only one needs care, well-structured property ownership and wills incorporating appropriate trust(s) on first death can seek to secure some inheritance for future generations.  

If you would like advice on wills that can best shield the estate of the first spouse to die from being used up automatically to meet the care fees of the survivor, my colleagues and I can assist.

Where care fees need to be paid, it is always worth ensuring that entitlement to benefits is reviewed. Is Attendance Allowance (or Personal Independence Payment) being claimed and received at the right rate? Is CHC funding available? If not, is a nursing care contribution payable?

Don't forget that the usual income a person has, such as state and private pension, continues to be received. Assets from the wider estate are needed to meet the shortfall between income and the costs of care - which means that the reduction of wider asset values may happen a little more slowly than first thought.