Understanding Care Home Fees: What Families Need to Know

A straightforward guide from Canwick House.

Making the decision to move a loved one into a care home is one of the most significant steps a family can take. Alongside the emotional weight of that decision comes a very practical question: how does it all work financially?

At Canwick House, we believe that no family should feel confused or overwhelmed by the cost of care. Here is a plain, honest guide to help you understand what to expect.

How care home fees are structured

Care home fees vary depending on the level of care your loved one needs. At Canwick House, fees cover accommodation, meals, personal care, activities, and 24-hour support from our dedicated team. We will always be transparent about what is included so there are no surprises.

Who pays for care?

This depends on your loved one's financial situation. There are generally three routes:

• Self-funding. If your loved one has savings or assets above the current threshold (£23,250 in England as of 2026), they will typically be expected to fund their own care. This is the most common route for families approaching us.
• Local authority funding. If savings fall below the threshold, your local council may contribute towards the cost of care following a financial assessment. We can help guide you through this process.
• NHS Continuing Healthcare (CHC). If your loved one has complex health needs, they may qualify for full funding through the NHS, regardless of their financial situation. This is assessed by a clinical team and is worth exploring if your loved one's needs are primarily health-related.

What about the family home?

The value of a property is included in a financial assessment only if your loved one lives alone. If a spouse, partner, or dependent relative still lives there, the home is disregarded. This is an area where many families feel uncertain, and it is always worth seeking independent financial advice.

Deferred Payment Agreements

If your loved one owns a property but does not have enough liquid savings to cover fees, a Deferred Payment Agreement (DPA) may be available through the local authority. This allows care costs to be repaid from the sale of the property at a later date, so no one is forced to sell their home in a rush.

Our promise to you

We know that talking about money can feel uncomfortable at a time that is already emotionally charged. At Canwick House, we approach these conversations with the same warmth and care we bring to everything else. Our team is always available to sit down with you, answer your questions, and help you understand your options, with no pressure and no obligation.

Every family's situation is different. We are here to help you find the right path forward.

Call 01522 522275, email management@canwickhouse.com, or visit us at Hall Drive, Canwick, LN4 2RG. We are always happy to talk.

Disclaimer: the information in this article is intended as a general guide only and reflects our understanding of care funding arrangements in England as of 2026. Funding rules, thresholds, and eligibility criteria are subject to change. Every family's circumstances are different, and we strongly encourage you to seek independent financial and legal advice before making any decisions. Organisations such as Citizens Advice, Age UK, and the Money Helper service offer free, impartial guidance on care funding.