You are here

Lib Dem MPs recommend older adults sacrifice pension and home

Lib Dem MPs recommend older adults sacrifice pension and home
10th January 2013

Liberal Democrat MPs have said older people should be encouraged to give up part of their pension or downsize their home to pay for their care.

Norman Lamb, care and support minister, says people should accept a smaller lump sum payment from their pension with the rest going into an insurance scheme to cover costs in older age such as care home fees or home help.

Mr Lamb's comments came during a Lords select committee inquiry into public services, the Daily Mail reports.

Steve Webb, pensions minister, told the same committee that older adults could release some of the capital in their homes by moving into a smaller property.

Mr Webb admitted that his proposal was "incredibly sensitive territory" and his comments have been met with an angry reaction.

Ros Altmann, director general at Saga, said: "For a lot of people, their home is not just an asset - it is part of the family. For these people, trading down is not an option."

Find the nearest Barchester care home.