Care Home Costs UK 2026
Care home costs in England range from £1,000 to £1,800 per week in 2026, depending on the type of care and where you live. This guide covers average costs by region, how funding works, and practical ways to reduce what you pay.
Last updated: March 2026
In this guide
How Much Does a Care Home Cost?
The average cost of a care home in England in 2026 ranges from approximately £1,000 to £1,800 per week, depending on location, type of care needed, and the specific facilities offered.
Care home costs vary significantly by region, with London and the South East being the most expensive areas, while the North East and Yorkshire tend to have lower fees.
Average Weekly Costs by Region
| Region | Residential | Nursing | Dementia |
|---|---|---|---|
| London | £1,548 | £1,750 | £1,800 |
| South East | £1,400 | £1,600 | £1,650 |
| South West | £1,200 | £1,400 | £1,450 |
| East of England | £1,350 | £1,500 | £1,550 |
| West Midlands | £1,100 | £1,300 | £1,350 |
| East Midlands | £1,050 | £1,250 | £1,300 |
| North West | £1,100 | £1,300 | £1,350 |
| Yorkshire and The Humber | £1,050 | £1,200 | £1,300 |
| North East | £1,000 | £1,200 | £1,250 |
* Figures are approximate averages and will vary by individual care home. Prices correct as of February 2026.
Financial Assessment Thresholds (England 2025/26)
Upper Capital Limit
£23,250
If your assets exceed this amount, you'll pay the full cost of your care.
Lower Capital Limit
£14,250
Below this amount, your capital is ignored and the council pays for your care.
Between these thresholds, you'll contribute £1 per week for every £250 of assets above £14,250.
What Affects Care Home Costs?
Location
Care homes in London and the South East are typically the most expensive due to higher property and staffing costs. You can often find more affordable options in the Midlands and North of England.
Type of Care
Residential care (personal care without nursing) is generally the least expensive option. Nursing care costs more as it includes qualified nurses on site 24/7. Dementia care often has the highest fees due to the specialist environment and higher staffing levels required.
Room Type
Single rooms with en-suite facilities cost more than shared rooms or rooms with shared bathrooms. Premium rooms with additional space or views may also carry a surcharge.
Facilities and Extras
Care homes with extensive facilities (gardens, activities programmes, specialist equipment) may charge higher fees. Additional services like hairdressing, chiropody, or accompanied outings are often charged separately.
How Are Care Home Fees Paid?
There are four main ways care home fees can be funded. Understanding these options is crucial — many families pay more than they need to because they don't know what help is available.
1. Self-Funding
If your savings, investments, and property are worth more than £23,250 (the upper capital limit), you'll be expected to pay for your own care. This is known as being a "self-funder."
Self-funders typically pay higher fees than council-funded residents — often £200-£400 more per week. However, you have complete choice over which care home you use and aren't limited to homes that accept council rates.
2. Local Authority Funding
If your assets are below the threshold, the council may help pay for care. The process involves two assessments:
- Care needs assessment — determines what level of care you need
- Financial assessment (means test) — determines how much you can afford to contribute
Contact your local council's adult social services to request an assessment. You can also ask the hospital discharge team if you're being discharged from hospital.
3. NHS Continuing Healthcare (CHC)
This is the option many families overlook. If you have a "primary health need" — meaning your main care requirements are health-related rather than social care — the NHS pays for all your care home fees. No means test. No contribution from you.
CHC is assessed using a checklist and, if you meet certain criteria, a full assessment by a multi-disciplinary team. To apply, ask your GP, hospital ward, or local NHS Integrated Care Board (ICB).
Many people who could qualify don't apply, or get turned down initially and don't appeal. If you have complex health needs — particularly unpredictable symptoms, nursing interventions throughout the day, or conditions requiring constant clinical management — it's worth pursuing.
Read our guide to NHS-funded care →
4. Deferred Payment Agreement (DPA)
If your main asset is your home, you may be able to delay paying for care using a Deferred Payment Agreement. The council pays your fees upfront and places a legal charge on your property. When the home is eventually sold (or after death), the council recovers the costs.
This is a valuable option for families who don't want to sell the family home immediately. Councils are legally required to offer DPAs to anyone who qualifies.
What's Included in Care Home Fees?
Care home fees typically cover the basics, but many extras are charged separately. Knowing what's included helps you budget accurately and avoid surprises.
Usually Included
- Accommodation — your room and access to communal areas
- Meals — breakfast, lunch, dinner, and snacks
- Personal care — help with washing, dressing, toileting, and mobility
- Activities programme — group activities, entertainment, and social events
- Laundry — washing clothes and bed linen
- Heating and utilities — electricity, gas, water
- Basic toiletries — soap, shampoo (though many homes expect residents to provide their own)
Often Charged as Extras
These costs can add £50 to £200 or more per month on top of the basic fees:
- Hairdressing — typically £15-£40 per visit
- Chiropody/podiatry — £20-£40 per visit
- Toiletries and personal items — if preferred brands are wanted
- Incontinence pads — some homes charge for these despite NHS guidance that they should be free
- Accompanied outings — staff time for trips outside the home
- Private phone line — installation and rental
- Sky TV or streaming services
- Physiotherapy — if not covered by NHS
- Optician and dentist visits
- Newspapers and magazines
- Dry cleaning — for delicate items
Ask About Extras Before You Sign
Before committing to a care home, ask for a full list of what's included and what's charged extra. Get this in writing.
Additional charges of £50-£200/month may not sound like much, but over a year that's £600-£2,400 — and over several years of care, it adds up significantly.
Top-Up Fees Explained
If the council is funding your care but you want a care home that costs more than the council is willing to pay, someone can make up the difference with a "top-up" payment.
How Top-Ups Work
The council has a set rate it will pay for care — typically £700-£1,000 per week depending on the area. If the home you choose charges £1,200, someone needs to pay the £200-£500 weekly difference.
Who Can Pay?
Top-ups can be paid by:
- A family member or friend (most common)
- A charity, in some cases
- The resident themselves — but only from certain income sources not counted in the means test (e.g., income from a property being rented out)
Important: The resident cannot pay top-ups from their assessed income (pension, benefits, etc.). This must come from a third party or from specific exempt income.
What If Top-Ups Can't Be Paid?
If the person paying the top-up can no longer afford it, the council must help find an alternative placement at a rate they will fully fund. The resident cannot be evicted, but they may need to move to a different home.
Before agreeing to top-ups, consider whether you can sustain the payments long-term. Care home stays often last years, and top-ups of £100-£300/week add up to £5,000-£15,000+ per year.
Negotiating Top-Ups
Some families successfully negotiate with care homes to reduce or waive top-up fees, especially for long-term placements or during quieter periods when homes have vacancies. It's always worth asking.
Deferred Payment Agreements
A Deferred Payment Agreement (DPA) is one of the most important options available to homeowners — yet many families don't know it exists.
What Is a DPA?
If your main asset is your home, you don't have to sell it immediately to pay for care. Instead, the council pays your care home fees and places a legal charge (similar to a mortgage) on your property.
When the property is eventually sold — either during your lifetime or after death — the council recovers what it has paid, plus interest and administrative fees.
Who Qualifies?
Councils must offer a DPA if:
- Your needs have been assessed and you need residential care
- Your home is included in the financial assessment (i.e., no spouse or qualifying relative living there)
- Your non-housing assets are below the upper capital limit (£23,250)
Interest and Fees
Councils charge interest on deferred amounts — typically 1.45% above the Bank of England base rate. There may also be administrative fees for setting up the agreement and annual reviews. These are added to the total amount owed.
Benefits of a DPA
- Avoid the stress and disruption of selling the family home quickly
- Give the property market time if it's not a good time to sell
- Allow family members to buy the property if they wish
- The person in care doesn't have to worry about the sale
Things to Consider
Interest accumulates over time, which reduces the equity remaining in the property. For long stays (5+ years), the interest can add up significantly. Some families prefer to sell and invest the proceeds to generate income for fees.
Annual Fee Increases
Care home fees typically increase every year — and families are often shocked by how much.
Typical Increases
Most care homes raise fees by 5-10% annually. In recent years, with high inflation and staffing pressures, some homes have increased fees by even more.
On a weekly fee of £1,200, a 7% increase means an extra £84 per week — over £4,300 per year. Over a 3-year stay, cumulative increases can add tens of thousands of pounds to the total cost.
What to Look for in Contracts
Before signing a care home contract, check:
- Notice period — how much notice must the home give before increasing fees? 28-30 days is common.
- Cap on increases — some contracts cap annual increases (e.g., "inflation plus 2%"). Many don't.
- Justification — does the contract require the home to explain or justify increases?
What's Reasonable?
Increases in line with inflation (CPI) plus 1-2% are generally reasonable, reflecting rising costs of wages, food, and utilities. Increases significantly above this should be questioned.
If you believe an increase is unreasonable, write to the home's management explaining your concerns. You may be able to negotiate, especially if you're a long-standing resident or paying privately.
Budget for Future Increases
When calculating whether you can afford a care home, don't just consider today's fees. Plan for annual increases of at least 5-7%.
Starting fee: £1,200/week
£1,411/week
After 3 years at 5.5%/year
Starting fee: £1,200/week
£1,685/week
After 5 years at 7%/year
How to Reduce Care Home Costs
Care home fees are substantial, but there are legitimate ways to reduce what you pay.
1. Check NHS Continuing Healthcare Eligibility First
Before accepting that you'll self-fund, request an NHS CHC assessment. If successful, the NHS pays everything — potentially saving hundreds of thousands of pounds. Even if turned down, you can appeal.
2. Claim Attendance Allowance
If you're a self-funder, Attendance Allowance is worth up to £108.55 per week (over £5,600/year). It's not means-tested, yet many families don't claim it.
3. Consider a Deferred Payment Agreement
If you own your home, a DPA lets you defer care costs rather than sell immediately. This gives you time to sell at the right price or explore other options.
4. Negotiate Fees
Care homes aren't supermarkets — fees can sometimes be negotiated, especially:
- For long-term placements (commit to 2+ years)
- When the home has vacancies
- For couples moving in together
- When paying fees upfront for a period
It doesn't always work, but asking costs nothing.
5. Compare Homes on CareHomeGuide
Fees vary significantly between homes in the same area. Use CareHomeGuide to compare options and find homes that offer good value for your needs.
6. Check for NHS Funded Nursing Care
If you're in a nursing home (even as a self-funder), you should be receiving NHS Funded Nursing Care — currently £254.06 per week paid directly to the home. This should be deducted from your bill automatically, but check it's being applied.
7. Claim Other Benefits
Depending on your circumstances, you may be entitled to:
- Personal Independence Payment (PIP) — if under State Pension age
- Pension Credit — tops up low pension income
- Council Tax exemption — if the property is empty because you're in care
Attendance Allowance
Attendance Allowance is a tax-free, non-means-tested benefit for people over State Pension age who need help with personal care. Many families don't know about it or don't claim it.
Lower rate (care needed day OR night)
£72.65/week
£3,778 per year
Higher rate (care needed day AND night)
£108.55/week
£5,645 per year
Who Qualifies?
You may qualify if you're over State Pension age and have a physical or mental disability that means you need:
- Help with personal care (washing, dressing, eating, using the toilet)
- Supervision to keep safe
You need to have needed help for at least 6 months (unless terminally ill, in which case you can claim immediately under the "special rules").
Important: Self-Funders Only
Attendance Allowance stops after 28 days if the council is paying for your care home fees. However, if you're a self-funder, you can continue to receive it and use it towards your care costs.
How to Apply
Apply online at gov.uk/attendance-allowance or call the Attendance Allowance helpline. You'll need to describe how your condition affects your daily life.
Tip: Be thorough in your application. Describe your worst days, not your best. Many claims are initially rejected because people understate their needs.
Frequently Asked Questions
How much does a care home cost per week in the UK?
Care home costs in the UK range from approximately £1,000 to £1,800 per week in 2026, depending on location and type of care. Residential care averages £1,000-£1,400/week, while nursing care costs £1,200-£1,800/week. London and the South East are the most expensive regions, while the North East and Yorkshire tend to have lower fees.
What is the average cost of a nursing home in the UK?
The average cost of a nursing home in the UK is approximately £1,200 to £1,600 per week in 2026. Nursing homes are more expensive than residential care homes because they provide 24-hour care from qualified nurses for people with complex medical needs. In London, nursing home fees can exceed £1,750 per week.
Will I have to sell my house to pay for care?
Not necessarily. Your home is not counted in the financial assessment if your spouse, a relative over 60, or a dependent child lives there. If your home is included, you can use a Deferred Payment Agreement to delay selling — the council pays your fees and recovers the money when the property is eventually sold. You can also rent out the property to cover fees.
What does the council pay for care homes?
If your assets are below £23,250, the council may help pay for your care. Below £14,250, the council pays in full (minus a contribution from your income). Between these thresholds, you contribute £1 per week for every £250 of assets above £14,250. Council rates are typically lower than what self-funders pay — often £700-£1,000/week depending on the area.
Can I get free care home funding from the NHS?
Yes, through NHS Continuing Healthcare (CHC). If you have a "primary health need" — meaning your main care requirements are health-related rather than social care — the NHS pays for all your care home fees with no means test. CHC is often overlooked but is worth pursuing if you have complex health needs. You can request a CHC assessment through your GP or hospital.
What is a deferred payment agreement?
A Deferred Payment Agreement (DPA) is an arrangement where the council pays your care home fees and places a legal charge on your property. When the property is eventually sold (or after death), the council recovers the fees plus interest and admin charges. Councils must offer DPAs to anyone who qualifies. It allows families to avoid selling the home immediately.
What are care home top-up fees?
Top-up fees are additional payments when someone chooses a care home that costs more than the council is willing to pay. A third party (usually family) pays the difference between the council rate and the home's actual fees. Top-ups typically range from £50-£300 per week. The resident cannot pay top-ups from their own assessed income.
Does Attendance Allowance help with care home fees?
Yes, if you're a self-funder. Attendance Allowance is worth up to £108.55 per week (over £5,600/year) and is not means-tested. However, it stops after 28 days if the council is paying for your care. Self-funders can continue to receive it and use it towards care home fees. Many families don't claim it — apply through gov.uk.