Additional costs

There are additional costs associated with the Deferred Payment Agreement, namely interest and charges. Details are as follows:

• Interest is charged on the full amount of the loan plus any interested added over time
• Interest rates are set by the Department of Health and are reviewed on 1 January and 1 July each year – they are based on the cost of Government borrowing plus 0.15%
• Initial set up fee for legal and admin - £1,061.70 (price reviewed 2025)
• Annual review fee on anniversary of Deferred Payment Agreement - £367.20 (price reviewed 2025)
• Charges are made to cover the cost of setting up the legal agreement including land registry fees and costs of valuing your home and to cover administration

Paying additional costs

• You can choose to pay your additional fees and charges in full as they are applied or they can be added to your accruing debt
• Interest will be charged if they are added to the debt
• If you apply and it does not go ahead you or your estate will be invoiced for the cost of any work we have already completed