What is the average care home cost in the UK?
The average cost of residential care is around £67,496, or £5,192 per month. However, costs can be higher or lower according to these variables:
- Location - Homes in London tend to be more expensive than homes in North West regions like Lancashire and Greater Manchester, for example.
- The type of service and care you need - Residential care, nursing care, and specialist care homes all come with different price tags.
If your needs are mainly health-based, your council may refer you to the NHS for free care home placement. You may also have the option of a local authority-run care home in your area, which could be more economical, but nowadays private care homes are the norm – and vary in quality from luxurious to fairly basic. You can check the quality of the care provided by private care homes on the Care Quality Commission (CQC) website.
How much do care homes cost in the UK?
We compare care home types and their average prices below:
- Residential care homes provide accommodation, usually a single room or small suite, alongside meals and personal care, which includes help with things like getting dressed and eating. Price will vary by location and the level of facilities, but because they don’t offer intensive medical support, residential care homes tend to be the least expensive option with people paying an average of around £3,000 - £5,000 per month.
- Nursing homes or nursing care homes have qualified nurses on-site to look after people with complex medical needs, which costs more. On average, the cost is around £3,800 - £6,000 per month.
- Specialist private care homes – for instance, those designed to look after people with advanced dementia – are the most expensive and can cost up to £80,000 a year – that’s generally over £6,000 per month.
What costs should you consider before buying a retirement or care home?
The costs and services you’ll need to consider can vary from home to home, and depending on the type of care you need. In general, you’ll need to read the fine print before purchasing or renting a home. Look for:
- Management and service fees - these can cover the costs of managing the community, cleaning individual homes, and other essential admin tasks. Charges can vary depending on the size of your property.
- Insurance or contingency fees - these cover any large repairs or improvements to communal areas, similar to (but are distinct from) a security deposit in a regular rental. Insurance companies may charge older customers less for home and contents insurance, as they are seen as lower risk than younger tenants.
- Utility bills - while these aren’t normally part of nursing home or care home costs, some retirement communities will require you to pay for regular bills like electricity, water, and gas.
- Council tax - this can vary according to the area you live in, but you can check approximately how much you’ll need to pay on the UK government website.
- The cost of living - of course, you’ll still need to budget for food, entertainment, clothes and household products, so it can be worth looking into the general cost of living in the area around the home as well.
Who pays for care home costs?
The price of care homes is daunting – especially as anyone with over £23,250* in capital (which includes your savings/income and potentially your property) is usually expected to self-fund the cost. Certain types of income may not be counted in this figure, however, such as money from certain disability benefits.
It’s good to remember that care homes are not the only option either. Assisted living homes, such as McCarthy & Stone’s Retirement Living PLUS retirement communities, are often a cheaper alternative that also allows you to enjoy an independent lifestyle in your own low-maintenance property with care and support on hand if you need it.
McCarthy & Stone can help you to plan financially for a move to a retirement apartment or bungalow, and we even offer free entitlements advice to ensure you are receiving all the money you’re due.
How much does assisted living cost in the UK?
Our research shows you could save around £13,000 a year** if you chose McCarthy & Stone’s assisted living over a care home, or around £3,000^ per year in a typical Retirement Living development. That’s because the average person in a residential care home can pay upwards of £60,000 per year, while someone in a McCarthy & Stone Retirement Living PLUS apartment pays on average £18,730 a year. That includes eight hours of care support per week, as well as other benefits.
Exclusive to the over 70s, you’ll find thoughtful McCarthy & Stone’s Retirement Living PLUS amenities and services support you to live an active life as you get older. Available to rent or buy, they include community facilities, like a large sociable lounge, landscaped garden and a fantastic, subsidised restaurant, for when you don’t feel like cooking. An hour’s domestic support a week is also included – more if you want it, plus there’s the option of tailored personal care should you need it. Our care and support services are totally flexible and personalised to you – so you only pay for what you need. Many developments also offer amenities such as on-site fitness facilities and hairdressers.How much does independent living cost in the UK?
Another lower-cost option is independent living. Essentially, these are communities of retirement homes designed around the needs of active older people. McCarthy & Stone’s Retirement Living properties offer independent living for the over 60s. You’ll enjoy your own superb retirement apartment where you will be part of a buzzing community with communal social spaces and gardens. We’ll take care of things like window cleaning, gardening and exterior maintenance, leaving you more time for things you love. Our retirement homes are safe and secure too, with a friendly manager on-site.
How much do McCarthy & Stone retirement homes and apartments cost?
Prices of McCarthy & Stone homes vary as with any property and depend on things like size, location and facilities, but whichever property you choose, the combination of lower energy bills plus cheaper maintenance and running costs could save you over £3,000^ a year in bills!
Of course, it’s not all about money. We believe that the right retirement community gives people the perfect environment to thrive and enjoy life. Find out more about the types of retirement communities to discover the best fit for you.
Find your ideal retirement home with McCarthy & Stone
McCarthy & Stone offers options for every retirement dream, from brilliant bungalows to retirement villages. And we even offer flexible ways to move in, so there are solutions for every budget and lifestyle choice:
- Purchase - you can purchase your retirement apartment or bungalow outright. Ideal for people who want to invest and enjoy the security of knowing their home is their own.
- Rent - renting your McCarthy & Stone property is a flexible alternative to buying, and often, you can move in much quicker. You’ll also benefit from a simple, easy-to-manage monthly payment, which includes the service charge as well as the rent.
- Shared ownership - this allows you to purchase a 75% share in a brand new McCarthy & Stone retirement property. If you take a 75% share, you won't need to pay rent on the part you don't own. This could be a more cost-effective way of owning your new home. And if you buy 50%, you pay an affordable rent on the outstanding share.
With great locations, pet-friendly properties, and so much more, discover everything you need to live your retirement life to the fullest with McCarthy & Stone.
Any questions? Contact us today to learn more about what we can do for you.
*correct as of Feb 2026
**Research carried out by LaingBuisson, 2018
^Typical savings between £213 - £3,107 on your household costs: Calculated by comparing the annual costs of energy (gas and electricity), window cleaning, garden maintenance, and building and contents insurance with McCarthy & Stone’s average annual charges for the same household services for a one-bed and two bed Retirement Living apartment in Wisteria Place.
