16.—(1) Subject to the following provisions of this paragraph, in the case of a claimant placed in a residential care home or nursing home by a local authority under section 26 of the National Assistance Act 1948(1), sections 13A, 13B and 59(2)(c) of the Social Work (Scotland) Act 1968(2) or section 7 of the Mental Health (Scotland) Act 1984(3) any charitable payment or voluntary payment made or due to be made at regular intervals.
(2) This paragraph shall apply only where–
(a)the claimant was placed in the residential care or nursing home by the local authority because the home was the preferred choice of the claimant, and
(b)the cost of the accommodation was in excess of what the authority would normally expect to pay having regard to the needs of the claimant assessed in accordance with section 47 of the National Health Service and Community Care Act 1990(4).
(3) This paragraph shall not apply in the case of a person whose applicable amount falls to be calculated under regulation 86 (persons in residential care or nursing homes with preserved rights).
(4) The amount to be disregarded under sub-paragraph (1) shall not exceed the difference between the actual cost of the accommodation provided by the local authority and the cost the authority would normally incur for a person with the particular needs of the claimant.
1948 c. 29, section 26 was amended by the Health Services Act and Public Health Act 1968 (c. 46), section 44 and Schedule 4 and the Social Work (Scotland) Act 1968 (c. 49) Schedule 9 Part I and applied by section 87(3); the Local Government Act 1972 (c. 70), Schedule 23 paragraph 2; the Housing (Homeless Persons) Act 1977 (c. 48), Schedule; the Health and Social Services and Social Security Adjudications Act 1983 (c. 41), section 20(1)(b), and the Community Care (Residential Accommodation) Act 1992 (c. 49).
1968 c. 49; sections 13A and 13B were inserted by the National Health Service and Community Care Act 1990 (c. 19) section 56, and section 59 was amended by Schedule 9 paragraph 10(7) to that Act.