Last Updated on September 19, 2017

New research from Aegon suggests that public awareness of social care is increasing.

With a growing elderly population in the UK, social care has been a key subject on the political agenda. As highlighted in the recent report from Independent Age only one in ten MPs in England (10%) believe that the current social care system is suitable for the UK’s ageing population. Following the interest in social care during the Election campaign, the sector is expecting a Green Paper shortly on the future funding of social care.

With increased interest in social care, new research from Aegon into public awareness of social care has found that only 21% of people anticipate that they won’t need residential social care in their old age. This indicates that four out of five people could be facing up to the prospect and not burying their heads in the sand.

The research also found that of those who believe they may need residential care, two-thirds (67%) thought it most likely they would need it from age 80 or older. 80% of respondents thought the average time a person spends in residential care would be more than three years, while 30% believed the average is more than five years. A study by Newcastle University found men spent 2.4 years on average needing regular care albeit not necessarily in a residential facility and women three years.

The findings also indicated that 78% of people thought the average cost of residential care is £30,000 or more a year, with most (59%) expecting it to be between £30,000 and £50,000 a year. This is in keeping with the latest figures from LaingBuisson, which estimate that it costs on average around £31,200 a year for residential care, rising to over £43,700 a year if nursing care is necessary.

Steven Cameron, Pensions Director at Aegon UK, said, 'Our research captured a wide range of views on the likely need for social care in old age and the associated costs. It’s reassuring to see that the reality of these costs is resonating with people with the majority expecting residential care to cost between £30,000 and £50,000 a year. This understanding of cost is a good first step when it comes to planning for retirement and factoring in the years of care that might be required in late life. The second step is for this understanding and awareness to be converted into action.

'It’s particularly noteworthy that only one in five people (21%) said they don’t think they will need residential social care in their old age. This means most people need to be asking themselves how they’ll pay for it. The State won’t pick up the full tab and failing to plan ahead could have serious implications for inheritance aspirations.'