According to a new report, the present cost of care for older people is set to double to £12.1 billion in the next 15 years.

At present, pensioners with more than £23,000 savings or assets have to foot their entire care cost bill.

The report suggests that the state guarantees to pay 50% of people's care costs and matching individual's contributions in an effort to motivate people to save for their old age.

That means for every £2 that individuals pay themselves, the Government should match with £1. And those with less than £23,000 savings will have their care bill paid by the state.

Richard Humphries, Lead Author of the report, told the Daily Telegraph, "If you're very poor you get your care for free, and if you're very rich you can afford to pay for it. But the people who lose out are the ones in the middle and those are the ones our partnership model would benefit the most".

The present social care system frequently falls short of meeting the needs of the people who rely on it and will not be able to manage the growing demand for services as the population ages.

'Securing good care for more older people' renews the social care led by Sir Derek Wanless that recommended a partnership deal whereby the state would meet at least two-thirds of the cost of care.

Under the reviewed model, social care will be allowed to around 1.8 million people to get access to care by 2026, 700,000 more than the existing system would.

The scheme shows that these savings can be attained and current beneficiaries can be protected making sure that those with low incomes will continue to get equivalent payments in future.

If we save a little during our youth, it will eventually help us to lead our old age in peace without having to worry about health care. And while the state is responsible for its citizens, we should not forget to do our bit.