Care Fees, Life Interest Trusts and NRB Disc Trusts


(Claire) #1

I posted the following 5 days ago but have had no responses. Can anyone assist?

Have any practitioners had any practical experience of Local Authorities assessing for care home fees when the client’s late spouse’s share of the marital home is now either the trust property of a life interest trust that the residing spouse has only a life interest in or alternatively, the late spouse’s share has an equitable charge secured against it in regard to a nrb disc trust. I ask because I recently dealt with an LA who had never heard of a nrb disc trust!

Will the LA’s just disregard the client’s joint share of the property or is it not that simple and they will still seek to place a charge on the property to recover care home fees in due course.

Can forum members provide any guidance?

Claire Carr
Rexton Law LLP


(justinwallace) #2

I think if the surviving spouse has to go into care, then yes their share of the property will be available to meet the costs of their care.

(This is subject to the disregards if someone else had moved in to help with care etc and are 60 or over)

Justin Wallace
Brewer Harding & Rowe