Guide
Funding a private carer
There's no single way families pay for private care — most combine their own contribution with one or more of the support routes below, depending on the person's needs and financial circumstances.
Self-funding
Many families pay a private carer directly out of income, savings, or a pension — especially where care needs are modest or the local authority means-test rules out council funding. Because a private carer sets their own rate with no agency margin on top, self-funded private care is often more affordable, hour for hour, than the equivalent agency package.
Attendance Allowance
A non-means-tested benefit for people over State Pension age who need help with personal care or supervision due to a disability or long-term condition. It's paid regardless of income or savings, and regardless of whether the person is actually receiving any care yet — it's based on need, not current arrangements.
Personal Independence Payment (PIP)
The working-age equivalent of Attendance Allowance, for people under State Pension age with a long-term health condition or disability affecting daily living or mobility. Like Attendance Allowance, it's not means-tested and can be put directly towards private care costs.
Local authority Direct Payments
Following a needs assessment from the local authority's adult social care team, a person assessed as eligible for council-funded care can request the funding as a Direct Payment — cash paid to the individual (or a nominated representative) to arrange their own care, rather than the council arranging an agency on their behalf. This is the main route by which council-funded care can still be spent on a self-employed private carer rather than a commissioned agency.
NHS Continuing Healthcare
Where a person's primary need is health-related rather than social care, they may be assessed as eligible for NHS Continuing Healthcare, which fully funds their care package — including, in some cases, a personal health budget that can be used similarly to a Direct Payment.
Where to start
A needs assessment from the local authority's adult social care team is the usual starting point for anything means-tested or council-funded, and is free to request regardless of the eventual outcome. Attendance Allowance and PIP are claimed separately, directly with the Department for Work and Pensions, and don't require a needs assessment first.
However care is funded, Care Companion helps keep the arrangement with your private carer organised — free to get started.
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