1. NCA Annual Conference 2011 Robert Elliot Chief Executive

2. REALISING THE OPPORTUNITIES

3. LETS LOOK BACK  A new world order is upon us!  It will take 10 years to recover from the credit crunch  UK Government debt was out of control  Sovereign debt would spread throughout Europe

4. LETS LOOK BACK  More Bank bailouts  UK was the most indebted country inside the G20 countries  Tax revenue at its lowest since 1932  Hyperinflation is on its way!

5. LETS LOOK BACK  US Dollar, Euro and Sterling will continue to lose value  Major cuts in public spending cannot be avoided  Unemployment will continue to rise

6. Am I a smart ass or just ahead of my time?? I’ll let you decide…

7. “THE NEW NORM”  Slow Growth  High unemployment  Broken government  UK Debt is higher now than 12 months ago!  Leading to Stagflation

9. RankingCountryRatingRankingCountryRating 1GreeceE25FranceC 2IrelandD-26PolandC 3SpainD+27MexicoC+ 4IcelandD+28IndonesiaC+ 5PakistanD+29BulgariaC+ 6VenezuelaD+30Czech Rep.C+ 7PortugalD+31KuwaitC+ 8EgyptC-32PhilippinesC+ 9South AfricaC-33AustraliaC+ 10UKC-34GermanyC+ 11ItalyC-35RussiaB 12ArgentinaC-36NetherlandsB 13HungaryC37DenmarkB 14BelgiumC38AustriaB+ 15USC39NorwayB+ 16CanadaC40SwedenB+ 17FinlandC41ChileB+ 18JapanC42Saudi ArabiaA- 19TurkeyC43MalaysiaA- 20UruguayC44SwitzerlandA- 21BrazilC45South KoreaA- 22EstoniaC46ThailandA 23New ZelandC47ChinaA 24ColombiaC

10. SOUTHERN CROSS  A disaster waiting to happen!  Not prepared to listen  Extremely poor management  All of which was known to the powers that be!

11. FINANCIAL ASSESSMENT 1993 CARCH asked their members to carry out a financial assessment on all self funding residents before they were admitted into the Care Home. Before their time?

12. GUESS WHAT?  Several LAs throughout England have commissioned us to carry out a financial assessment on all potential care clients…  At long last we are starting to see some partnerships developing between the LA and private enterprise.

13. DILNOT REPORT  Widely welcomed across the sector.  Limit the cost of care to £35,000  Will it be implemented?  What about GRAG?  Excluded items ie: Bonds insurance products  Where can you get DB&B for £27  What happened to a “Fair Price for Care”?

14. WHAT DID DILNOT NOT SAY?  Where the money is coming from to fund his proposals  What real effect it would have on an individual funding their own care  How do you deal with the “Real cost of Care” ie. the difference between the LA tariff rate and the actual cost the home is charging?

15. ATTENDANCE ALLOWANCE  Consider how better to align benefits with reformed social care funding system.  Needs re-branding to clarify its purpose  Meaning???  Abolish Attendance Allowance

16. CASE STUDY  Mrs Jones aged 84  Property value of £225,000  Savings of £40,000  Pension income £13,600  Care Fees £28,600  Shortfall £15,000

17. CURRENT SYSTEM  Client is totally self funding until her funds dwindle to £23,250  The Client can invest the money to obtain a return of £5.66%  The client can purchase an Immediate Care Plan to guarantee her fees for life.  Client entitled to 12 week property disregard

18. DILNOT PROPOSALS  Client remains self funding until her capital reduces to £100,000  Clients loses Attendance Allowance  Clients contributes £1 for every £250 over the lower limit £14,250  This means the client contributes to her care fees by £343 per week

19. SO ARE YOU IN THE RIGHT INDUSTRY?  The answer depends on your business model.  Do you have a good mix of self funding clients  Can you retain your best staff  Do you have a niche within the care sector  Are you working to a business plan

20. CONCLUSION  Ensure self funders get the correct advice which enables then to pay your fee’s  CareAware and Care Asset can help you achieve a sustainable profitable model.

21. THANK YOU!