Fair Deal (Nursing Homes Support Scheme): Costs, Cap & Appeals in Ireland
Reviewed by the Commoner Law Editorial Team. Sourced from Irish Acts of the Oireachtas, statutory instruments, and official guidance. Written in plain language for general understanding — this is educational content, not legal advice. Our editorial standards
What is this right?
The Nursing Homes Support Scheme — better known as Fair Deal — helps pay the cost of long-term nursing home care. You pay a weekly contribution based on your income and assets, and the HSE pays the balance. Funding is never backdated: the scheme starts from approval or move-in date, whichever is later.
- Weekly contribution: 80% of income plus 7.5% per year of assessable assets (40% of income / 3.75% of assets for each spouse in a couple).
- Asset disregards (2025/2026): €36,000 for a single person; €72,000 for a couple.
- 3-year cap on the principal residence (22.5% maximum): Your principal private residence is assessed at the standard 7.5% per year rate, but only for the first 3 years in care. The maximum contribution from the family home is therefore 7.5% × 3 = 22.5% of its value over the lifetime of the claim (11.25% if only one of a couple is in care). After the 3-year cap is reached, the home is excluded from further assessment regardless of how long you remain in care. Introduced by the 2021 Amendment Act on 20 October 2021.
- Rental income from your own home: 100% exempt from 1 February 2024 under S.I. No. 618 of 2023. Before that it was only 40% disregarded. Other rental income is still assessed at 80%.
- 3-year cap for family farms and businesses (7.5% successor relief): A productive farm or relevant business is also capped at the standard 7.5% per year for 3 years (maximum 22.5% contribution lifetime), provided a family successor aged 18+ formally commits to operating it as a productive enterprise for at least 6 years from the date of application. You must have actively worked it for at least 3 of the 5 years before the application. Since 23 September 2024, the eligible-successor list also includes great-nephews, great-nieces, first cousins, and great-grandchildren of first cousins. If the successor walks away from the 6-year commitment, a clawback applies and the asset reverts to ongoing 7.5% annual assessment.
- 5-year asset look-back: Assets you gave away in the 5 years before (or after) applying are still counted as if you owned them. Late estate planning does not defeat the means test.
- Nursing Home Loan: The HSE can lend the 7.5% asset-based contribution, secured by a Charging Order on your home. Repaid within 12 months of death or 6 months if the property is sold during care.
- 40-working-day appeal window — not 28 days as older guides still report.
When does it apply?
- You or a family member is an adult (18+) who is ordinarily resident in Ireland and needs long-term residential nursing home care.
- You want an approved public, private, or voluntary nursing home on the HSE list (maximum prices are published by the NTPF).
- You want to protect the family home, a farm, or a business from open-ended asset contributions.
- Your application has been refused, or your contribution calculation looks wrong, and you want to appeal.
What to Do If You Need to Apply for or Appeal a Fair Deal Decision in Ireland
- Download and complete the single Fair Deal application form on hse.ie. It covers both the care-needs and financial assessments. Send it to your Local Nursing Homes Support Office.
- Sort out capacity paperwork first. If the applicant lacks capacity, the consent must come from a registered Enduring Power of Attorney or a Decision-Making Representative appointed by the Circuit Court under the Assisted Decision-Making (Capacity) Act 2015. This is the single biggest cause of delay.
- Tick Part 5 for the Nursing Home Loan if you want the HSE to lend the 7.5% asset contribution. Apply at the same time — it takes months to process.
- Tick Part 6 for the farm/business 3-year cap and appoint a family successor. A Charging Order is registered against the property and the HSE can review compliance at any time during the 6 years.
- If refused, appeal within 40 working days (about 8 weeks). Send to: National Appeals Service, HSE, Ballyshannon Health Campus, An Clochar, College Street, Ballyshannon, Co. Donegal, F94 TPX4. Include the 6-digit reference on the decision letter.
- Report changes within 10 working days: asset sales, proceeds of the home sale (which qualify for the 3-year cap), or changes in income.
- After internal appeal — further appeal lies to the High Court on a point of law, or you can complain to the Ombudsman.
- Plan for extras: Hairdressing, therapies, activities, and transport are billed on top of Fair Deal. Ask the home for its extras price list before signing the contract.
What should you NOT do?
- Don't miss the 40-working-day appeal window. The widely-cited "28 days" figure is wrong — check hse.ie directly.
- Don't assume the Nursing Home Loan is automatic. It must be applied for on Part 5 of the form and takes months.
- Don't misread the couple rules. Only half the couple's combined income and assets are assessed — effectively 40% of income and 3.75% of assets per year.
- Don't try to defeat the 5-year look-back. Gifts or transfers in the 5 years before applying still count as if you owned them.
- Don't pay extras without a written price list. Hairdressing, activities, and therapies are not covered by Fair Deal.
- Don't forget the executor's duty. After death, the personal representative must give the HSE a Schedule of Assets and at least 3 months' notice of intention to distribute the estate, or be personally liable for overpayments.
- Don't expect funding to be backdated. Pay privately or ask about Transitional Care Funding while you wait for approval.
Common Questions
How much do I pay under Fair Deal in Ireland?
80% of your assessable income plus 7.5% of your assessable assets each year. For a couple, only half of the combined income and assets are counted — effectively 40% of income and 3.75% of assets. The first €36,000 of assets for a single person (€72,000 for a couple) is disregarded.
How long is the Fair Deal appeal window?
40 working days — about 8 weeks — from the HSE decision letter. The widely cited 28-day figure is wrong. Send appeals to the National Appeals Service at Ballyshannon, Co. Donegal, quoting the 6-digit reference on the decision letter.
Does Fair Deal take my house forever?
No. Since 20 October 2021, the principal private residence is only counted for the first 3 years in care. The maximum contribution from the home is 22.5% of its value (11.25% if only one of a couple is in care). Proceeds of sale also qualify — but you must tell the HSE within 10 working days of the sale.
Is rental income from my family home counted under Fair Deal?
Rental income from your own (principal) home has been 100% exempt since 1 February 2024 under S.I. No. 618 of 2023. You must apply using the Principal Private Residence Rental Income form with RTB registration, rental agreement, and Revenue notice of assessment. Rental from other properties is still assessed at 80%.
What is the 5-year look-back for Fair Deal?
Anything you gave away in the 5 years before (or after) applying is still counted as if you owned it. This means late estate planning — transferring the house to children, for example — does not escape the means test. Make plans well in advance with proper legal advice.
When does it apply — fair deal (nursing homes support scheme): costs, cap & appeals?
You or a family member is an adult (18+) who is ordinarily resident in Ireland and needs long-term residential nursing home care.You want an approved public, private, or voluntary nursing home on the HSE list (maximum prices are published by the NTPF).You want to protect the family home, a farm, or a business from open-ended asset contributions.Your application has been refused, or your contribution calculation looks wrong, and you want to appeal.
What should I do if I need to apply for Fair Deal, challenge a contribution calculation, or appeal a refusal in Ireland?
Download and complete the single Fair Deal application form on hse.ie. It covers both the care-needs and financial assessments. Send it to your Local Nursing Homes Support Office.Sort out capacity paperwork first. If the applicant lacks capacity, the consent must come from a registered Enduring Power of Attorney or a Decision-Making Representative appointed by the Circuit Court under the Assisted Decision-Making (Capacity) Act 2015. This is the single biggest cause of delay.Tick Part 5 for the Nursing Home Loan if you want the HSE to lend the 7.5% asset contribution. Apply at the same time — i...
What should you NOT do — fair deal (nursing homes support scheme): costs, cap & appeals?
Don't miss the 40-working-day appeal window. The widely-cited "28 days" figure is wrong — check hse.ie directly.Don't assume the Nursing Home Loan is automatic. It must be applied for on Part 5 of the form and takes months.Don't misread the couple rules. Only half the couple's combined income and assets are assessed — effectively 40% of income and 3.75% of assets per year.Don't try to defeat the 5-year look-back. Gifts or transfers in the 5 years before applying still count as if you owned them.Don't pay extras without a written price list. Hairdressing, activities, and therapies are...