Third party 'top ups'
In some cases, a person may choose a setting that is more expensive than the fees the Council has sey for the care placement arranged on behalf of the person who is eligible for support from the Council. Where they have chosen a setting that costs more than this, an arrangement will need to be made as to how the difference will be met. This is known as a 'top-up' payment. If the person is part or fully funded by the Council, the 'top-up' must be paid for by a third party i.e. not the person or the Council.
There are some circumstances where the resident may pay the top-up:
- where they benefit from a 12-week property disregard
- where they have a DPA
- where a person is paying the full cost of their care
- where they are receiving after care under section 117
Where no choice of alternative accommodation exists for the customer as the time of the needs assessment the Council may be required (short term) to pay the top up costs. Where a choice does exist the 3rd party will be responsible for “top up” payments and must sign a top up agreement. (I.e. in the placement agreement). In absence of a ‘top up agreement’ the Council is not obliged to arrange care at a placement costing more than the personal budget. It may choose to do so for a limited period where additional time is required to make financial arrangements, but if such arrangements are not made within a reasonable period of time, the Council may make arrangements for alternative accommodation for the person that is affordable within the personal budget.
The Council must ensure that the third party is willing and able to meet the cost for the person’s care and support. This includes ensuring the person has sufficient information and advice to understand the terms and conditions of the ‘top up’ agreement as the top up amount may change in the future. The Council should encourage the third-party payee to get independent financial advice before agreeing and entering a third party top up agreement.
In the event the ‘top up’ arrangements fail the Council must either pay the top up, re-negotiate the fees with the home or make alternative arrangements for the person’s care and support needs. This may include moving the person to an alternative home that can meet the person’s needs and is within the fees the Council has set. All parties including the provider will need to agree on the “top- up” prior to the person moving into the care home and sign the agreement.