Fife councillors have opposed plans to include money and property given to relatives beyond a seven-year time limit in financial assessments for long term care.
The region is the only one in Scotland to have a seven year limit for transferred capital and Fife Council has proposed a change in policy which would see the time period removed.
If approved, the change would mean, as an example, a home bought for a relative would be included in an assessment for care home fees, regardless of when the capital was handed over.
The council’s scrutiny committee was asked to consider the matter before making a recommendation to the policy and co-ordination committee, who have the final say.
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Conservative councillor Dave Dempsey called for the policy and co-ordination committee to “leave things as they are” and the scrutiny committee unanimously agreed.
Labour councillor Jan Wincott said the report before the committee was “quite uncomfortable to read”.
She added: “It feels to me that we have to have a cut off point and it cant be open ended.
“Seven years feels like a reasonable amount of time for somebody planning ahead. I’m uncomfortable about making this completely open ended.”
Her Labour colleague Gary Guichan described removing the seven year limit as a “retrograde step”.
Fiona McKay from the Fife Health and Social Care Partnership leadership team said some local authorities consider capital transfers going back 20 years.
However, the committee was told it was unlikely that anyone would be pursued as a result of the policy and the change would be “notional”.
Ms McKay added: “We have always had the policy that we would never pursue an older person who is very frail and put them in a difficult situation.”
Lesley Backhouse, a SNP councillor, said: “In my view, if you have an open ended policy, I’m quite concerned by it because it doesn’t help yourselves and it doesn’t help families who are trying to do the best for their loved ones.”
Neil Macdonald from the council’s legal team said there was no time limit stated in the national Charging for Residential Accommodation Guidance.
“The law doesn’t prescribe a time limit beyond which we can’t go, so it’s not like inheritance tax legislation,” he said.
“The law allows it to be any period of time.”
He added: “If someone buys their children a house or a flat, the disposal of the asset has to be done with the intention of avoiding charges.
“If the adult is in a position to explain why they did the transfer, that would be taken into account.
“They don’t clearly have to prove it.”
