John Godfrey, the Director of Policy to the Prime Minister, has said that the elderly should sell their homes to pay for care fees. This is a change to the policy of the David Cameron Government where Jeremy Hunt talked of the scandal of the elderly being forced to sell their homes.
The Observer has reported Godfrey saying:
“On a 10-year view equity release is going to be hugely important, because if you look at the amount of housing equity across the UK that is owned by people of post-retirement age, that is really where an awful lot of the money sits at the moment”.
David Cameron, the then Prime Minister, said in 2014:
“But the point about care homes is also important, because I know there is a concern that, of course, if you take your money out of your pension pot and have it as your own money, then it counts as your money when you are assessed for care needs. That is true; that is the case. But, again, you have the choice: you can leave money in your pension pot or take it out. And also, we are putting in place a cap on the amount of money that someone can be charged for their care needs”.
Godfrey is a former Conservative Party parliamentary candidate and has worked for senior figures including John Patten and Douglas Hurd.