When an older person in Cyprus can no longer live independently, the greatest challenge is often not the illness itself but who will provide care and how it will be paid for. A new OECD analysis highlights a reality experienced daily by thousands of families, finding that long-term care remains financially unaffordable for many older people and that state support is insufficient to protect them from poverty.
The report examines social protection for people aged over 65 who require long-term care, whether at home or in residential facilities.
Its findings for Cyprus are particularly concerning, showing that even older people with average incomes are expected to cover almost the entire cost themselves.
Home care costs
The data cover three levels of care needs.
For a person requiring around 6.5 hours of care per week, the cost of home care in Cyprus amounts to 36% of median disposable income.
When care needs rise to 22.5 hours per week, the cost climbs to 125% of income.
For severe cases requiring more than 41 hours of care per week, the cost reaches 230% of median income.
In practical terms, an older person with significant care needs requires more than two full annual incomes simply to cover care expenses.
No effective state coverage
The report's most striking finding is not the scale of the costs but the lack of public support.
According to the OECD, public social protection for an older person with median income provides no meaningful contribution toward home care costs across all three categories of need.
This is largely because the Cypriot system relies on strict income criteria. As a result, many older people are not considered poor enough to qualify for assistance, yet do not have the financial means to pay for services that cost more than their annual income.
The picture differs significantly from the OECD and EU averages. In countries such as France, Germany and Italy, public support covers more than half of home care costs on average, substantially reducing the financial burden on older people.
Limited support even for low-income pensioners
Even among older people who do qualify for assistance, support remains limited.
The OECD found that the state covers around:
- 41% of costs for low-level care needs
- 22% for medium-level care needs
- 13% for severe care needs
Paradoxically, as care needs increase and costs rise, the proportion of state support declines.
Care pushes older people into poverty
The report also examined how many older people fall below the poverty threshold once care costs are paid.
The results were stark.
After paying for home care:
- 67% of older people with low care needs fall below the poverty line
- 96% of those with medium care needs fall below the poverty line
- 98% of those with severe care needs fall below the poverty line
The report found that public support in Cyprus does not reduce these poverty risks by even a single percentage point.
By contrast, social protection systems across the EU reduce poverty risks by between 23 and 27 percentage points on average.
Families carry the burden
Although the OECD report does not explicitly focus on the role of families, its findings point clearly in that direction.
When care costs exceed an older person's income and state assistance is limited, responsibility shifts to relatives.
Children, spouses and other family members often find themselves paying for care or providing it personally, frequently at the expense of work opportunities and personal time.
In many cases, families either purchase fewer care hours than required or leave older relatives without the level of support they need.
Concerns over needs assessment
The OECD also raises concerns about the way care needs are assessed by Cyprus' Social Welfare Services.
Current assessments focus mainly on whether a person can perform basic daily activities such as dressing, personal hygiene and meal preparation.
However, the report says insufficient attention is given to factors such as cognitive impairment, behavioural issues, social isolation, safety risks within the home and the suitability of living conditions.
As a result, a person may be considered largely independent because they can dress or feed themselves while simultaneously living with dementia, struggling to manage medication or residing in an unsafe environment.
A growing challenge
The OECD report comes as Cyprus faces a rapidly ageing population and growing demand for long-term care services.
Its central message is clear: the current system does not provide adequate financial protection for older people who lose their independence.
As demand for care continues to rise, an increasing share of the burden is likely to fall on families unless broader reforms are introduced.
