Caoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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Question 623: To ask the Minister for Health and Children if she will review the maintenance charges of nursing homes in accordance with the charges of inpatient services under the health regulations 2005 and 2008. [39164/09]

Mary Harney (Dublin Mid West, Independent)
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My Department is currently reviewing the level of charges for publicly funded long stay care. The purpose of the review is to ensure an effective and equitable charging regime is put in place for the provision of long stay care. With regard to the particular issue of long-term nursing home care the new Nursing Homes Support Scheme, A Fair Deal, commenced on the 27th October 2009. The scheme will replace the current regime of public in-patient charges and the private nursing home subvention scheme for all new entrants to nursing home care from the 27th October 2009 onwards. However, anyone who entered public nursing home care prior to the 27th October 2009 can continue with their existing arrangements and does not have to apply for the new Nursing Homes Support Scheme.

Under A Fair Deal, a person will make the same contribution towards their care regardless of whether they enter public or private long-term nursing home care. Each person's contribution will be calculated based on a national standardised financial assessment and will be based on a maximum of 80% of their assessable income and 5% of their assets, subject to the following important safeguards:

Nobody will pay more than the actual cost of care.

Applicants will keep a personal allowance of 20% of their income or 20% of the maximum rate of the State Pension (non-Contributory), whichever is the greater.

If there is a spouse/partner remaining at home, he/she will be left with 50% of the couple's income or the maximum rate of the State Pension (non-Contributory), whichever is the greater.

The first €36,000 of the applicant's assets, or €72,000 in the case of a couple, will not be counted at all in the financial assessment.

Where a person's assets include land and property, the 5% contribution based on such assets may be deferred and can be collected from their estate. This is an optional element of the scheme called the "Ancillary State support" or the Nursing Home Loan.

A person's principal residence will only be included in the financial assessment for the first 3 years of their time in care. This is known as the 15% or 'three year' cap. It means that individuals will pay a 5% contribution based on their principal residence for a maximum of three years regardless of the time they spend in nursing home care.

The 'three year' cap will also extend to farms and business in certain circumstances.

If there is a partner or certain dependants living in the principal residence, the repayment of contributions may be further deferred for their lifetime.