Care-home costs squeeze middle-income older people and their families

Middle-income families seeking residential care in Portugal face a gap between access to subsidised places and the ability to pay full charges. A Diário de Notícias report published on 21 October draws on analysis by Via Senior and BA&N Research Unit.

The analysis compares an average monthly double-room fee of €1,717 with an average old-age pension of €691.31. DN also reports starting charges of €1,500 for an unsubsidised place in the social sector.

A place provided by a social institution therefore is not necessarily publicly subsidised. The report focuses on households unable to secure supported accommodation but without enough disposable income for full fees.

Via Senior’s demand survey found that 52% of families searching with a monthly ceiling of €1,500 ended up paying more.

These averages do not mean every provider charges the same amount. The distinction between a subsidised place and a full-fee place, together with room type, is central to the comparison. The report does not announce a new universal care allowance.

The analysis combines August Social Security figures with Via Senior’s study of residential facilities. Around nine in ten families searching for care tried to keep monthly spending within €2,000. When subsidised places are unavailable, that ceiling narrows their choices.

Via Senior chief executive Nuno Saraiva de Ponte told DN that families can end up selling part of an older person’s assets, including their home, to finance care. The pressure consequently reaches beyond pension income to decisions about family savings and housing assets.