(2) what assessment her Department has made of the impact on the quality of life of older people in care homes of an increase of the personal allowance to £40 per week, as part of its annual consultation on residential care charges.
A number of meetings have been held with key stakeholders representing care home residents, to discuss a range of issues relating to the assessment of resources regulations, including the personal expenses allowance (PEA). Stakeholders involved have included voluntary organisations such as Age Concern, Help the Aged, the Nursing Home Fees Agency, the Relatives and Residents Association and MENCAP. The views of stakeholders will be considered and there will be a further meeting with them before recommendations are put to Ministers.
I have made no assessment of the impact on the quality of life of older people in care homes of an increase of the personal allowance to £40 per week. The PEA was set many years ago at a level that was felt to be appropriate. Since then PEA has been increased annually in line with average earnings. The PEA is provided for care home residents to have money to spend, as they wish, on small items such as on stationery or personal toiletries. It takes into account the fact that people in care homes generally have fewer personal expenses than those living in their own homes. The PEA was increased to £20.45 per week on 9 April 2007.