Contact: Colin Mansbridge, (01962) 84 7640; [email protected]

1 Summary

1.1 At the last meeting of the Policy Review Committee (PRC) a report on the financial assessment process as it particularly applies to Direct Payments (DP) clients of Adult Services was requested. This report outlines the history and role of the Financial Assessments and Benefits (FAB) Team for Domiciliary Care clients generally but with particular reference, where appropriate, to DP clients.

1.2 This report supports the corporate strategy in the area of "Maximising wellbeing" by demonstrating that financial contributions from clients are expected only insofar as they can be reasonably afforded.

1 Background

1.1 The FAB team was set up in response to the requirements of the Fairer Charging legislation of 2002 which itself was enacted under the Local Authority Social Services Act 1970.

1.2 The details and effects of this legislation were reported to the former Social Care PRC and to the Executive Member for Social Care in March 2002. The basic aim was to ensure that local authorities who charged for non-residential services put in place reasonable and fair charging policies for those services. Encompassed within this was also the requirement to ensure that comprehensive benefits advice was provided to all users at the time of the charge assessment.

1.3 The best way of meeting these requirements was deemed to be the establishment of a team of specially trained officers. This course of action alleviated some of the pressure on Care Managers who had previously been responsible for obtaining the necessary financial information.

2 Direct Payments

2.1 Direct Payments (DP) occur where clients, who are assessed to be in need of Domiciliary Care, opt to make their own arrangements for the provision of that care. In these circumstances, subject to certain criteria, the County Council will make payments to the client towards the cost of that care.

2.2 Until recently, in Hampshire, there have been two DP schemes running side by side. Clients in receipt of funding under DP scheme A were not formally assessed to ascertain their ability to financially contribute towards their care costs whereas clients in DP scheme B were. For those clients opting for DP scheme A, a standard sum was used to reflect their assumed ability to contribute.

2.3 Following legal advice based on the Department of Health's Fairer Charging guidelines, DP scheme A was withdrawn as part of the review of Hampshire's Charging Policy for Non-Residential Services in May 2006. At that meeting the Executive Member for Adult Social Care decided that DP scheme A should be closed for new applicants with immediate effect with existing clients, approximately 700, transferring to new arrangements as soon as individual financial assessments had been completed.

2.4 All DP clients are now subject to the same assessment process as any other Domiciliary Care client.

3 Financial Assessment

3.1 Under Hampshire County Council's Domiciliary Care Charging Policy certain defined categories of home care are subject to a financially assessed contribution by the client. All Domiciliary Care clients are financially assessed in the same way and there is therefore no need to differentiate between those benefiting via DP and those in receipt of arranged services.

3.2 The basis of the assessment is laid out in the Department of Health's Fairer Charging Guidelines which states that a client's net income, after assessed charges, should not be reduced to less than Income Support (or equivalent) levels plus 25% which should be sufficient to cover general living expenses. Charging levels, subject to this proviso, are at the discretion of the local authority.

3.3 Apart from those associated with DP, described above, other changes to Hampshire's Charging Policy last May included:

· The maximum level of assessed contribution as a percentage of disposable income to be increased from 75% to 95%

· Capital in excess of £12,750 to be brought into account in calculating the assessed contribution

3.4 In calculating the net available disposable income allowance is made for Housing Costs (rent, mortgage) and Council Tax. Where disability benefits are taken into account as income, allowance can also be made for Disability Related Expenses (DRE). Whilst guideline DRE amounts, reviewed and uprated annually by the Director of Adult Services, are available, additional costs may be allowable subject to suitable evidence and, where necessary, a confirmation of assessment of need by the Care Manager. Examples of the guideline levels of DRE are shown at Appendix A. Benchmarking and comparisons with other local authorities have consistently shown that the average level of DRE agreed for Hampshire clients is one of the highest.

3.5 The financial assessment is carried out in the home of the client who is often accompanied by a helper or representative. The FAB Visiting Officer collects all the necessary information to enable an assessment. The general practice is that a preliminary assessment of the maximum contribution is left with the client at the end of the visit with a confirmatory letter following a few days later. The actual level of charge may vary according to the amount and cost of the service but it will not exceed the maximum sum previously notified. Although services may be provided immediately following the care assessment, charging may not begin until the client has been notified of the assessed maximum contribution. This is accepted as being the date of the provisional assessment with actual charges taking effect from the beginning of the following week.

3.6 In respect of DP clients the resultant charge is deducted from payments whereas other Domiciliary Care clients make payments to the County Council. The two approaches are because of the different methods of payment to care providers - DP clients arrange and pay direct whereas Hampshire County Council arranges and pays for the others.

3.7 At the same visit a check is made to ensure that all available benefits are being claimed. Visiting Officers have been accredited by the Department of Work and Pensions (DWP) to verify the relevant pieces of evidence thus speeding up the claim. In common with other parts of the country, progress is being made in establishing a Joint Working relationship with the DWP to try to avoid duplication of information collection by the two different agencies.

4 Size of Operation

4.1 There are twenty eight FAB Visiting Officers divided into three teams, each covering a different part of Hampshire. The groupings are North, South East and South West. These teams are supported by a number of centrally based Support Officers whose tasks include arranging appointments, preparation of paperwork and confirmation of assessments to clients.

4.2 In total the team members make in excess of 10,000 visits per annum to clients either to calculate new assessments or review existing ones.

Section 100 D - :Local Government Act 1972 - background documents

The following documents discuss facts or matters on which this report, or an important part of it, is based and have been relied upon to a material extent in the preparation of this report.

NB: the list excludes:

1. Published works

2. Documents which disclose exempt or confidential information as defined in the Act.

(Quote list of documents here: either "none" if 1 or 2 above apply; or list the relevant letters, memos, etc and their location).

Department of Health - Fairer charging policies for home care and other non-residential social services: Guidance for Councils with Social Services Responsibilities

Report to Executive Member Adult Social Care 12 May 2006 - Charging Policy for Non-Residential Services

Appendix A