‘Fair Deal’ Scheme Change for Family Farms and Business Assets
Government recently approved the General Scheme of a Bill which, if enacted, will change the treatment of family farms and businesses under the Nursing Homes Support Scheme, also known as the Fair Deal. The proposed change would extend the three-year cap on contributions taken by the State to fund care costs provided that a family successor continues to operate the farm or business for six years.
Farm and business assets (along with all other assets) are not considered under the financial assessment in the Scheme if they have been transferred to others, including the next generation, over five years before nursing home care is required.
Currently, people using the Fair Deal scheme contribute up to 80% of their income and up to 7.5% of the value of any assets held towards their cost of care. The value of a person’s home is only included in the financial assessment for the first three years of their time in a care. However, up to now the three-year cap has not applied to assets such as farms and businesses.