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The Care Home Means Test, Explained (2026)

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Claire Saltwater25 August 2026
The care home means test explained — England capital thresholds for 2026.

If you want council help with care home fees, the means test — properly, a financial assessment — decides how much you pay. Here's exactly how it works in England.

The two thresholds that matter

The council looks at your capital (savings, investments and usually your property) against two figures that have been frozen since 2010:

England capital thresholds, 2026 Council may fund mostYou contributeYou pay in full £14,250 £23,250Under £14,250: savings aren’t counted (you still contribute from income).£14,250–£23,250: a "tariff income" of about £1/week for every £250 of savings.Over £23,250: you’re a self-funder and meet the full cost yourself.England, 2026. Wales, Scotland and Northern Ireland use different thresholds.
Between the two limits you pay a "tariff income" from your savings.

What "tariff income" means

Between £14,250 and £23,250 you're treated as having an extra £1 a week of income for every £250 of savings above the lower limit. In practice:

Weekly contribution from savings (tariff income) Assessed extra "income", England 2026 £0 £10 £20 £30 £40 £7 £16,000 £15 £18,000 £23 £20,000 £35 £23,000
This is on top of what you pay from your actual income (pensions, most benefits).

What is — and isn't — counted

What the assessment counts Usually counted• Savings and investments• Your home (in most cases)• Most pension income• Some benefits Not counted• Your home, if a spouse lives there• Personal possessions• A Personal Expenses Allowance• Certain disability benefits
Your home is disregarded in several situations — always check before assuming it counts.
The thresholds are the same whether you have £24,000 or £2.4m in assets — so many more people self-fund now than when the limits were set in 2010.
💬 Compare care homes and guide prices near you. Search the AskBart directory to see homes, CQC ratings and costs in your area — or ask Bart for help finding the right one.

Frequently asked questions

Is my home always counted?

No. It’s ignored if your spouse, partner or a dependent relative still lives there, and for the first 12 weeks of a permanent stay.

What if my savings are just over £23,250?

You self-fund until they fall to that level, then ask the council to reassess — don’t wait until the money runs out.

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Claire Saltwater

Editor · AskBart

Claire Saltwater is AskBart's Editor and a care-home industry veteran. One of AskBart's earliest team members, she has spent years working in and around social care — so she understands first-hand the difficult, often overwhelming decisions families face when choosing a care home. Claire writes and edits AskBart's advice guides with one goal: clear, genuinely independent information, free of jargon and sales pressure. Away from her desk she loves a good farmers' market and time with her two young children.

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