The majority of the population is significantly overestimating the risk of needing long term care and want an alternative to residential care, according to research by Audley Retirement.
The care provider found two thirds (64%) of men and over half of women assume they will need care. In fact, only one in five men and one in three women are likely to need long term care in the future.
The overwhelming majority (99%) of the population wants an alternative to residential care in old age.
When asked how they would want any future needs met, the majority said by downsizing to a retirement village where care could be provided onsite or to receive care in their existing home rather than within a residential care home.
Despite this and the recent debate prompted by the Dilnot Commission recommendations, four in ten (41%) did not know how they would fund any care needs. Only one in ten considered that equity from the sale of their house could be used.
Nick Sanderson, CEO of Audley Retirement, commented: "These findings illustrate how flawed the debate on long term care has been.
"Government and the Dilnot Commission have focussed on how we find a funding fix for the current model of residential care provision, yet as these findings show, it is a model no one wants.
"We have to empower older people to stay in financial control of their future. This is the first generation of homeowners who collectively owns £1 trillion in housing assets.
"The greatest challenge they face is being aware of the options available to them to use this equity to fund their lifestyle, any future needs and also provide inheritance."
