How Much Does Dementia Care Cost in England?
A clear guide to dementia care home costs - weekly fees, what is included, NHS contributions, council funding, and how to plan financially for long-term care.
Last updated: September 2026
In this guide
Weekly Fee Ranges (2025-2026)
Dementia care home fees vary depending on location, the type of care provided, and the individual home. Here are the current typical ranges:
| Type of Care | Weekly | Annual |
|---|---|---|
| Standard Residential Care Lower cost, less specialist provision | £1,100-£1,400 | £57,200-£72,800 |
| Residential Dementia Care Specialist dementia environment and training | £1,300-£1,500 | £67,600-£78,000 |
| Nursing Home with Dementia Includes 24-hour nursing care | £1,500-£2,000+ | £78,000-£104,000+ |
Fees in London and the South East tend to be higher. Fees in the North of England are generally lower, though choice may also be more limited.
What Is Included in the Weekly Fee?
Usually Included
- Accommodation (your room)
- Personal care (washing, dressing, toileting)
- All meals, snacks and drinks
- Dementia-specialist staff
- Utilities (heating, electricity, water)
- A basic activities programme
- Laundry (in most homes)
Typically Charged Separately
- •Hairdressing and beauty treatments
- •Chiropody and podiatry
- •Dental treatment (non-NHS)
- •Optical appointments (non-NHS)
- •Toiletries and personal items
- •Newspapers and magazines
- •Specialist activities or outings
- •Accompanying residents to hospital appointments
- •Over-the-counter medications
Always ask for a full written breakdown of what is and is not included before signing any contract.
NHS Contributions to Dementia Care
NHS-Funded Nursing Care (FNC)
If your relative lives in a nursing home and is assessed as needing registered nursing care, FNC may apply. CHC eligibility should be considered first. Check how the NHS contribution is treated in the quoted fees:
- £267.68 per week in England (standard rate, April 2026)
- This covers the nursing element only - not the full weekly fee
- Does not apply to residential care homes (only nursing homes)
- Must be assessed and confirmed by the NHS
NHS Continuing Healthcare (CHC)
CHC funds an agreed package of assessed health and social care needs for a person found to have a primary health need. This includes accommodation where the package is provided in a care home. It is not means-tested; eligibility depends on assessed needs, rather than a diagnosis alone.
- Funds the agreed package, including accommodation where provided in a care home
- Considers all relevant needs, including cognition and behaviour; a separate physical illness is not required
- Not means-tested - available regardless of savings or assets
- Must be assessed and approved, it is not automatic
- Ask the ICB about the assessment timetable and fast-track pathway if needs are urgent
- Worth exploring if your relative has significant medical needs
If you think your relative may qualify for CHC, ask their GP or social worker for a referral to an assessment.
NHS-Funded Nursing Care at a Glance
Standard FNC rate (2026/27)
£267.68/week
Paid to nursing home for nursing care
CHC if approved
100% funded
No means test; agreed package funded
Council Funding
If your relative has limited savings or assets, the local council may contribute toward care costs.
The Means Test
The council carries out a financial assessment. The thresholds in England (2026/27):
- Above £23,250 in assets: You are expected to fund your own care
- Between £14,250 and £23,250: Sliding scale - council contributes some, you contribute some
- £14,250 or less: Capital is ignored, but an assessed income contribution may still apply
Assets include savings, investments, and in most cases the value of your relative's home (though there are exceptions, including if a spouse still lives there).
What Council Funding Covers
The personal budget must be enough for suitable care meeting assessed needs. A top-up may apply if you choose a more expensive option when an appropriate placement is available within that budget. Ask the council to explain the available options and any proposed top-up in writing.
Top-up Fees
- Family members pay the difference between the council's rate and the home's fee
- Must be affordable and sustainable long-term
- Typically several hundred pounds per week
How to Apply
Contact your local council's adult social care team and ask for a needs assessment and a financial assessment. The process can take several months, so start as soon as possible.
Financial Assessment Thresholds (England 2026/27)
Upper Capital Limit
£23,250
Above this, you pay for your own care
Lower Capital Limit
£14,250
At or below this, capital is ignored; income may still contribute
Between these thresholds, tariff income is £1 weekly for every £250, or part of £250, above £14,250, alongside an assessed income contribution.
Long-Term Financial Planning
Dementia care is often a long-term commitment. It is important to plan ahead:
Average duration of care: varies from 3-20+ years depending on age of onset and life expectancy.
Illustrative Annual Costs
- Residential dementia care at £1,400/week: £72,800 per year
- Nursing home with a £1,700 gross weekly fee, less the standard £267.68 FNC where eligible and included in that gross fee: approximately £74,481 over 52 weeks
Fee Increases
Most homes increase fees annually. 5-6.5% per year is common. Check the terms carefully before signing a contract.
Options for Funding Care
- Savings and investments
- Pension income
- Selling the property (deferred payment agreements may allow a delay)
- Equity release (specialist financial advice recommended)
- Council funding once assets fall below the threshold
- NHS Continuing Healthcare if health needs are complex
Deferred Payment Agreements
If your relative owns a property, some councils offer a deferred payment scheme. The council funds care and recoups costs from the property sale later. This avoids an immediate forced sale.
Scenario Examples
Scenario 1: Self-funded residential dementia care
Weekly fee
£1,400
You pay (weekly)
£1,400
Annual cost
~£72,800
Scenario 2: Nursing home, self-funded with NHS nursing contribution
Weekly fee
£1,700
Standard FNC (2026/27)
You pay (weekly)
£1,432.32
Annual cost
~£74,481
Illustration assumes FNC eligibility and a £1,700 gross fee that includes nursing costs before the NHS payment
Scenario 3: Council-funded with top-up
Weekly fee
£1,350
Council personal budget
You pay (weekly)
£250
Annual cost
~£13,000
Family pays the top-up difference
Getting Financial Advice
Managing long-term care costs is complex. It is worth speaking to an independent financial adviser who specialises in later life planning. They can help you:
- Understand all available funding options
- Plan for how to manage assets
- Avoid common mistakes that affect eligibility for council funding
- Plan for fee increases over time
The Society of Later Life Advisers (SOLLA) maintains a directory of qualified advisers: societyoflaterlifeadvisers.co.uk
Get Expert Help
Care funding is complicated and mistakes can be costly. A specialist later life adviser can help you navigate the options and avoid common pitfalls.
Find an accredited adviser at societyoflaterlifeadvisers.co.uk
Frequently Asked Questions
How much does dementia care cost per week?
Residential dementia care typically costs £1,300-£1,500 per week on average in England. Nursing homes with dementia specialism cost from £1,564 per week on average. Costs vary significantly by location, with London and the South East being the most expensive regions.
Is dementia care more expensive than standard care?
Yes. Dementia care homes typically cost £200-£300 per week more than standard residential care due to specialist staff training, higher staffing ratios, and purpose-designed environments. Standard residential care averages £1,100-£1,400 per week compared to £1,300-£1,500 for dementia care.
Can I get NHS funding for dementia care?
Dementia alone does not decide eligibility. CHC funds an agreed care package for someone assessed as having a primary health need. If CHC does not apply, eligible nursing-home residents assessed as needing registered nursing care may receive FNC, paid to the home at a standard £267.68 a week in England for 2026/27.
What is included in dementia care home fees?
Most fees include accommodation, all meals, personal care, dementia-specialist staff, utilities, basic activities, and laundry. Extras like hairdressing, chiropody, toiletries, and specialist outings are usually charged separately. Always ask for a written breakdown before signing a contract.
Will I have to sell my house to pay for dementia care?
Not necessarily. Your home is excluded from the means test if a spouse, partner, relative over 60, or dependent child still lives there. If your home is included, you may be able to use a Deferred Payment Agreement to delay selling while the council pays fees upfront.
How much do fees increase each year?
Most care homes increase fees by 5-6.5% annually. Some increases have been higher in recent years due to inflation and staffing pressures. Always check the contract terms for notice periods and any caps on increases before signing.
Funding rules and sources
The funding rules below apply to England. Funding sections checked on 19 September 2026; arrangements differ elsewhere in the UK. Ask for a written needs assessment, funding decision and fee breakdown for your circumstances.
Could the NHS pay for your relative's care home fees?
NHS Continuing Healthcare is free care home funding with no means test and no savings limit. Many families don't know about it. The CHC Family Guide explains exactly how to claim it.
Find out in the CHC Family Guide (£37)Have a question this guide didn't answer?
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Could the NHS pay for your relative's care home fees?
NHS Continuing Healthcare is free care home funding with no means test and no savings limit. Many families don't know about it. The CHC Family Guide explains exactly how to claim it.
Find out in the CHC Family Guide (£37)