An increasing amount of individuals are underestimating the growing costs of social care by £7 billion per year, research claims.
Independent think tank the Centre for the Modern Family polled more than 2,000 adults on behalf of Scottish Widows and found, on average, people estimate residential care would cost £549 a week.
However, in real terms it would cost on average £866 for a place in a nursing home – leaving a shortfall of £317 per week.
In addition, 25% have no idea on how to cover social care costs for themselves or a relative, while just 15% were saving on a monthly basis to pay for their own social care.
Around half (49%) of adults would have to rely on a relative to help cover care costs, with 42% having £2,000 or less in savings – enough to fund less than 3 weeks of care.
Jane Curtis, chairwoman of the Centre for the Modern Family, said:
“The number of people in care in the UK will almost double by 2035. Our research shows an over-reliance on relatives and the state could put families in serious financial difficulty.
“It can seem difficult to know how to prepare for the future, but to avoid a financial care crisis we all need to have an honest discussion on later life care as early as possible so no one is left footing a bill they can’t afford.”
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