Can the council pay for live-in care?

Yes, council funded live-in care is possible. If a Care Act needs assessment finds you have eligible needs, your council must meet them, and live-in care is one way it can. But the council can also take cost into account, so it may offer hourly visits or another option if that meets your needs for less. How much you pay depends on a separate financial assessment.

At a glance

• Your local council must assess needs for free, whatever your savings.
• The council must meet eligible needs, but can choose a cheaper way that still meets them.
• In 2026/27, people with over £23,250 in capital usually pay the full cost.
• For care at home, the value of your home is ignored in the means test.
• Direct payments can be used to buy live-in care from a CQC-registered agency.

How does council funding for live-in care work?

In England, council funding follows the Care Act 2014. You deal with the adult social care team of the council where the person lives. In two-tier areas, that is the county council, not the district council.

The process has four main steps:

1. Needs assessment. The council looks at what the person can and can’t do.
2. Eligibility decision. Needs are eligible if they come from an illness or impairment, mean the person can’t achieve two or more specified outcomes, and significantly affect their wellbeing.
3. Care and support plan and personal budget. The council sets out how needs will be met and how much that will cost.
4. Financial assessment. The council works out how much you pay towards the cost.

Find your council’s contact details through find care in your area. Local guides: London.

Will the council agree to live-in care?

The council must meet your eligible needs, and the personal budget must be sufficient to meet them. It does not have to choose the option you prefer if a cheaper one would also meet those needs.

Age UK’s factsheet on personal budgets explains that councils can consider their finances when deciding how to meet needs. However, decisions should be based on outcomes and value for money, not purely on money. Councils should not set arbitrary ceilings on personal budgets that force people into care homes against their will (Age UK Factsheet 24, Nov 2025).

In practice, live-in care is more likely to be agreed where:

• needs run through the day, so many hourly visits would be needed;
• the person is at risk when alone between visits;
• a couple both need care;
• the alternative would be a care home at a similar or higher cost;
• the person’s wellbeing depends strongly on staying at home, for example with dementia.

Why cost is a sticking point

Councils often pay providers much less than private clients do. The Homecare Association puts the minimum sustainable price for council-funded home care at £34.42 an hour in 2026/27, yet it reports London councils, for example, paid an average of about £21.87 in 2025/26. By contrast, private live-in care in England typically costs £1,540–£1,610 a week for one person (2026), varying by region. A personal budget set at council rates may not buy the live-in package you want, so ask how the budget was worked out.

How much will you have to pay?

After the needs assessment, the council carries out a financial assessment of the person needing care. The rules for 2026/27 in England are:

Key points for live-in care:

• The value of your main home is ignored for care at home.
• The council must leave you at least the Minimum Income Guarantee, £241.45 a week for a single person over Pension Credit age (2026/27).
• If disability benefits are counted as income, the council must allow for disability-related expenses it isn’t meeting.
• Couples are assessed individually, not on joint resources.

Read more in our guide to the home care means test.

What if you’re a self-funder?

Even with savings over £23,250, you can still ask for a needs assessment and advice. If you have eligible needs and want care at home, the council must arrange it for you if you ask. You pay the full cost of the care, and the council may also charge an arrangement fee.

Can you use direct payments for live-in care?

Yes. A direct payment is your personal budget paid to you, so you can arrange care yourself. You can use it to pay a CQC-registered live-in care agency, or to employ a personal assistant.

Things to know:

• Direct payments normally can’t pay a close relative who lives in the same household, unless the council decides this is necessary.
• If you employ a carer directly, you become their employer, with tax, pay and insurance duties.
• You can usually add your own money to buy more care than the council funds.

See direct payments for home care.

Can the NHS pay for live-in care instead?

If the person’s needs are mainly health needs, they may qualify for NHS Continuing Healthcare (CHC). CHC pays the full cost of care in any setting, including live-in care at home, and it is not means-tested. CHC is decided by your local integrated care board (ICB).

People eligible for CHC also have a legal right to a personal health budget, which can give more say over how care is arranged. For people with a rapidly deteriorating condition who may be nearing the end of life, the Fast Track route aims to arrange care quickly. See NHS Continuing Healthcare at home.

For how live-in care works day to day, see our guide to what a live-in carer does.

Other help towards live-in care costs

• Attendance Allowance: £76.70 or £114.60 a week in 2026/27; not means-tested.
• PIP daily living: the same weekly rates, for people under State Pension age.
• Council Tax: a live-in carer may be disregarded if conditions are met; apply to your council.
• Carer’s assessment: a family carer can ask for support in their own right.

What if the council refuses live-in care?

1. Ask for the decision in writing, with the reasons and how the personal budget was calculated.
2. Check the care plan covers all eligible needs, including risks between visits and at night.
3. Ask for a review if needs have been missed or have changed.
4. Make a complaint to the council if you remain unhappy.
5. Go to the Local Government and Social Care Ombudsman if the complaint isn’t resolved.

Independent advice from Age UK or a local advocacy service can help. See how to complain about home care.

Frequently asked questions

Does the council pay for live-in care?

It can. If your needs are eligible under the Care Act, the council must meet them, and live-in care is one option. The council can choose a cheaper option that still meets your needs, such as hourly visits. What you pay depends on a financial assessment of your income and savings.

Do I have to sell my house to pay for live-in care?

No. For care at home, including live-in care, the value of your main home is ignored in the council’s financial assessment. Only your other capital, such as savings and investments, and your income are counted. The rules are different if you move permanently into a care home.

Can I top up council funding to get live-in care?

You can usually pay privately for extra care on top of what the council funds, for example by adding your own money to a direct payment. Agree the arrangement in writing with the council and the provider, so it’s clear which costs the council meets and which you pay.

Can the NHS fund live-in care?

Yes, if the person qualifies for NHS Continuing Healthcare because their needs are mainly health needs. CHC pays the full cost of care at home, including live-in care, and isn’t means-tested. Ask the GP, social worker or hospital team for a CHC Checklist assessment.

How long does a council care assessment take?

There’s no fixed legal deadline. Statutory guidance asks councils to assess within an appropriate and reasonable time based on urgency. Many aim for around four to six weeks. If needs are urgent, the council can arrange care before the assessment is finished. Chase in writing if there are delays.

Sources

• SCIE: Care Act 2014 eligibility
• DHSC: Care and support statutory guidance
• DHSC: Social care charging 2026 to 2027 circular
• Age UK: Factsheet 24, personal budgets and direct payments (Nov 2025)
• Age UK: Factsheet 46, paying for care and support at home (May 2026)
• GOV.UK: apply for direct payments
• Homecare Association: response to the Low Pay Commission 2026
• NHS: NHS Continuing Healthcare
• NHS: personal health budgets
• DWP: Benefit and pension rates 2026 to 2027
• GOV.UK: who has to pay Council Tax
• Local Government and Social Care Ombudsman: adult social care
• Lottie: care at home costs (Sep 2026)
• SCIE: Care Act factsheet 1, legal duties towards self-funders

This guide is general information, not financial, legal or medical advice. Last reviewed September 2026.

Reviewed by The Care Panel team on 15 October 2026. This guide is general information about care in England, not legal, medical or financial advice. Rules and rates change; check with your council or an adviser before making decisions.