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The abolition of residential allowance
Corporate AuthorDepartment of Health - DH
PublisherDepartment of Health, London, September 2003
Pagesunnumbered (Local authority circular, LAC (2003)20)
SourceDepartment of Health Storage and Despatch, PO Box 777, London SE1 6XH. www.doh.gov.uk/publications/coinh/html
KeywordsCirculars ; Department of Health [legislation and circulars] ; Local Authority Circulars ; Care homes ; Nursing homes ; Social Services Departments ; Finance [care] ; Social security benefits.
AnnotationResidential Allowance has been payable to residents in independent care homes who qualify for Income Support since 1993, to cover the "lodging costs" of residential accommodation. This circular and the attached guidance details the abolition of residential allowance from 6 October 2003. From that date, there will be a change to the funding stream, and residential allowance to individuals will cease. Instead, a grant allocation will be given to councils. This circular also provides guidance for councils with regard to care home residents who have not previously been assessed by councils, but who have been receiving residential allowance and other social security benefits sufficient to cover all or most of the care home fees, and who have been making their own arrangements. These residents are commonly known as "Boyd Loophole" cases and are referred to as such throughout the guidance. The guidance gives an outline history of the residential allowance and rationale for its abolition, which was first highlighted in the 1998 White Paper "Modernising social services". This circular should be cancelled on 31 March 2006. (KJ/RH).
Accession NumberCPA-031009203 C
Classmark6I: VK9: LAC(2003)20: KW: LHB: PF: QC: JH *

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