How is adult social care policy changing in England?
By CareFinder Research Team · Published 2025-11-03 · Last reviewed 2026-09-18

Adult social care in England still runs under the Care Act 2014. The planned lifetime cap on care costs was scrapped in July 2024, so the means test and capital limits are unchanged. Reform now rests on the independent Casey Commission, which is reporting in two phases, and a new fair pay agreement for care workers, with the first settlement expected from April 2028.
Adult social care in England is still governed by the Care Act 2014, and the way families pay for care has not fundamentally changed for more than a decade. The main recent developments are the cancellation of the planned cap on care costs in 2024, an independent commission on the future of care led by Baroness Casey, and a legally binding pay deal for care workers that is being set up. Scotland, Wales and Northern Ireland make their own care policy.
Policy moves quickly, so this guide explains the building blocks and tells you where to check the latest position rather than listing announcements that will soon be out of date.
What law governs social care in England today?
The Care Act 2014 is the foundation. It gives councils duties to:
- assess anyone who appears to need care and support, and carers too
- meet needs that are eligible under national criteria
- carry out a financial assessment (means test) before charging
- offer deferred payment agreements to some homeowners in care homes
- provide information and advice about care and how to pay for it
The detail sits in the Care and support statutory guidance, which councils must follow. When a policy announcement is made, the practical question for families is usually whether it changes this guidance or the regulations behind it.
What happened to the cap on care costs?
The Care Act 2014 included powers for a lifetime cap on what an individual would pay for personal care, along with a more generous means test. Implementation was postponed more than once and was due in October 2025.
In July 2024 the new government announced in its public spending audit that it would not proceed with the adult social care charging reforms. That means:
- there is no cap on the amount a person may pay for care in England
- the capital limits have not changed: the government's 2026 to 2027 charging circular keeps the upper limit at £23,250 and the lower limit at £14,250
- the main change each April is usually to allowances such as the personal expenses allowance for care home residents
Articles that still describe a cap or higher thresholds "from October 2025" are out of date.
What is the Casey Commission?
In January 2025 the government asked Baroness Louise Casey to chair an independent commission on adult social care, with the stated aim of building cross-party agreement on a national care service. It works in two phases:
- Phase one, reporting in 2026: the critical problems facing care and medium-term recommendations that can be phased in.
- Phase two, reporting by 2028: longer-term recommendations on the model of care, how services should be organised and how to create a fair and affordable system.
A commission makes recommendations; it does not change the law. Nothing about charging, assessments or capital limits changes unless the government acts on its findings through new legislation, regulations or guidance.
How will care workers' pay be set in future?
The Employment Rights Act 2025 gives the government power to set up a negotiating body for adult social care in England. Unions and employer representatives will negotiate legally binding minimum pay and conditions, known as a fair pay agreement.
According to the government's response on the fair pay agreement process:
- the negotiating body is being set up in 2026 to 2027
- negotiations are expected to start around April 2027
- the first agreement is expected to take effect in April 2028
- it covers England only; the Act gives Scottish and Welsh ministers separate powers
For families, better pay may help care providers recruit and keep staff. It may also feed into the fees that homes and home care agencies charge.
What investment has gone into care at home and adaptations?
Alongside the commission, the government increased funding for the Disabled Facilities Grant, which councils use to pay for home adaptations such as stairlifts, level-access showers and ramps. The grant is means-tested for adults and is available in England, Wales and Northern Ireland; Scotland has a different system of help with adaptations.
Other funding flows through council budgets and the Better Care Fund, which pools NHS and council money locally. You will not usually apply for these directly: they shape what your council can offer after a needs assessment.
Are inspections and ratings changing?
The Care Quality Commission (CQC) regulates care homes and home care in England. The CQC has consulted on replacing its single assessment framework with separate frameworks for each sector it regulates. In its March update it confirmed that the five key questions (safe, effective, caring, responsive, well-led) and the four rating levels remain.
For families, the practical advice has not changed: read the latest inspection report, not just the headline rating, and check the date of the inspection.
How do Scotland, Wales and Northern Ireland differ?
Social care is devolved, so each nation sets its own policy:
- Scotland provides free personal and nursing care to everyone assessed as needing it, regardless of income or savings, and sets its own capital limits.
- Wales has a single capital limit for care home residents that is much higher than England's, and a weekly cap on charges for care at home.
- Northern Ireland uses the same capital limits as England, but care is arranged through Health and Social Care Trusts.
Where can families find the latest news?
- GOV.UK, the Department of Health and Social Care pages, for England-wide policy and the annual charging circular.
- The CQC website for regulation and inspection changes in England.
- gov.scot, gov.wales and nidirect for the other nations.
- Your council's adult social care pages for local charges and procedures.
- Age UK, Carers UK and Citizens Advice for plain-English explanations of what changes mean.
If a change could affect a decision you are about to make, such as selling a home or agreeing a top-up fee, get independent advice first. Specialist later-life financial advisers, Age UK and Citizens Advice can all help.
Frequently asked questions
Is there a cap on care costs in England?
No. The planned cap was cancelled in July 2024. People with capital above the upper limit pay the full cost of their care, with no lifetime ceiling.
Have the capital limits gone up?
No. For 2026 to 2027 the upper limit is still £23,250 and the lower limit £14,250 in England. Check the current year's charging circular on GOV.UK, because allowances change each April.
Will the Casey Commission change what I pay?
Not by itself. It makes recommendations to government. Any change to charging would need new decisions and usually new regulations or guidance, which would be announced on GOV.UK.
When will care workers get a fair pay agreement?
The government expects the first agreement to take effect in April 2028, after negotiations that are due to begin around April 2027. It applies in England only.
Is there a national care service yet?
No. The government has said it wants to create one, and the commission's work is meant to lay the foundations, but no national care service exists at present.
Key takeaways
- The Care Act 2014 still sets the rules on assessments and charging in England.
- The planned care cap was scrapped in 2024, and the capital limits are unchanged.
- The Casey Commission reports in two phases, in 2026 and by 2028; it recommends, it does not legislate.
- A legally binding fair pay agreement for care workers is expected from April 2028.
- Check GOV.UK, the CQC and your council for the current position before making decisions.