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: May 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 is in a nursing home, the NHS contributes toward the cost of nursing care:
- £254.06 per week in England (April 2025 rate)
- 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)
For people with complex health needs, the NHS may fund the full cost of care:
- Free once approved - covers the entire care home fee
- For people with dementia plus complex physical health needs
- Not means-tested - available regardless of savings or assets
- Must be assessed and approved, it is not automatic
- Can take several months to access
- 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
FNC Rate (2025)
£254.06/week
Paid to nursing home for nursing care
CHC if approved
100% funded
No means test, full fee covered
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 (2025):
- 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
- Below £14,250: Council funds care (above a small personal allowance)
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 council sets a personal budget based on needs. This may not cover the full cost of a more expensive home. If the home charges more than the council's rate, a family member may need to pay a top-up fee.
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 2025)
Upper Capital Limit
£23,250
Above this, you pay for your own care
Lower Capital Limit
£14,250
Below this, council funds care in full
Between these thresholds, you contribute £1 per week for every £250 of assets above £14,250.
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 at £1,700/week after NHS nursing contribution: approximately £75,000 per year
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
NHS nursing contribution
You pay (weekly)
£1,446
Annual cost
~£75,200
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?
If your relative has complex health needs alongside dementia, they may qualify for NHS Continuing Healthcare (CHC), which covers the full cost of care with no means test. If they are in a nursing home, they should receive NHS-funded nursing care (£254.06 per week) regardless of means.
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.
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