Care home fees for dementia: what to expect
Care home fees for dementia can be higher than standard residential rates, depending on the home and the level of support needed. Funding works the same way as for any other care need: a council assessment, self-funding or, for some people, NHS support.
This guide gives general information, not financial or medical advice; we do not provide financial advice. It focuses on England. Scotland, Wales and Northern Ireland each set their own care funding rules, covered in our paying for care options hub.
Why care home fees for dementia are often higher
Dementia can mean someone needs more staff time, specialist training for carers and sometimes a more secure environment, and costs vary between homes and with the stage of dementia.
There is no single confirmed average figure for dementia-specific care home costs from an official source, so treat any headline number you see with some caution. Ask homes directly for a current, itemised quote based on the person's needs and how their dementia affects them day to day.
The wider cost of dementia
A report commissioned by Alzheimer's Society estimates the average annual cost of dementia per person, including health, social and unpaid care, at around £28,700 for mild dementia, rising to about £80,500 for severe dementia. It puts the total UK cost at £42 billion a year, of which around 63% falls on individuals and families rather than the state.
These are total costs, not care home fees, so they shouldn't be read as a weekly care home price.
How dementia care is funded
There is no separate dementia funding scheme. Care is arranged and paid for through the same routes as any other adult social care need:
- a council needs assessment, followed by a means-tested financial assessment;
- self-funding, sometimes with help from family;
- NHS continuing healthcare, for people whose needs are assessed as a primary health need;
- NHS-funded nursing care, a fixed weekly payment towards nursing costs in a nursing home; see our nursing home costs guide.
NHS continuing healthcare and dementia
Continuing healthcare eligibility depends on the nature, complexity, intensity and unpredictability of someone's needs. A dementia diagnosis alone does not automatically qualify someone.
This can be disappointing to learn, but it does not mean nothing is available. Some people may still be eligible for council support, or NHS-funded nursing care in a nursing home, depending on their assessed needs and finances. Our paying for care options guide covers each route, including what happens to your home and the deprivation of assets rules.
Comparing care at home and in a care home
Some families look at home care costs or live-in care costs before a move into a home, at least for a while. How they compare with care home fees depends on how many hours of support are needed and where you live. See also what happens to your home if you move into care.
If equity release comes up as a way to pay for care at home, bear in mind that interest usually rolls up and the debt grows, it reduces what is left for your estate, and it can affect means-tested support; our equity release for care fees guide covers this.
Getting the right help
For care planning itself, your GP or local memory service can help. Care decisions often need someone with legal authority to act, which our lasting power of attorney guide explains. A council care needs assessment can be requested at any time.
For decisions about affording care, an FCA-regulated adviser or a specialist care fees adviser can explain the funding options.
Not sure where to start?
Frequently asked questions
Why do care home fees for dementia often cost more than standard care?
Some care homes charge more for dementia care. This may reflect the extra staff time, specialist training or more secure surroundings some people with dementia need. Costs vary between homes, so ask each one for a current, itemised quote showing what is included.
Does the NHS pay for dementia care automatically?
No. Dementia is a diagnosis, not an automatic route to NHS funding. NHS continuing healthcare depends on an assessment of someone's overall care needs, not on having dementia specifically, and the eligibility bar is high. Some people with dementia pay some or all of their own care costs, in the same way as anyone else needing care.
Who can help plan for the cost of dementia care?
Start with your local council, which can carry out a care needs assessment for the person with dementia and a separate carer's assessment for family members. The GP or memory service can advise on health needs and whether an NHS continuing healthcare checklist is appropriate. For decisions about using savings, property or pensions to pay for care, a regulated financial adviser or specialist care fees adviser can explain the options.
How much of the cost of dementia falls on families?
A 2024 report commissioned by Alzheimer's Society estimates that the total cost of dementia in the UK is £42 billion a year, and that around 63% of it falls on individuals and families rather than the state. That total includes unpaid care from family and friends as well as self-funded care, not just care home fees.
Are the average dementia cost figures the same as care home fees?
No. The Alzheimer's Society-commissioned figures of around £28,700 a year for mild dementia and £80,500 for severe dementia are per-person totals. They include health care, social care and unpaid care from family, so they are not a price for a care home place. For fees, ask individual homes for a quote based on the person's needs.