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However, Moody's warned these funds may not fill the financial shortfall facing care homes.
Dementia is one of the biggest crises facing care in the UK, with around 800,000 people affected by the condition at an estimated cost of £23bn.
However, Martin Green, chief executive of Care England, said the package of measures did not address the urgent funding crisis facing care homes.
Currently, no cap exists leaving many facing vast bills, with almost 1 in 5 older people facing care costs over £75,000.
With one in 10 families facing care costs of more than £100,000 at 65, the financial risk is both inefficiently pooled and unfairly allotted.
The GMB union, which represents workers in care homes, warned earlier this year that even increases in council tax will not be able to fill the funding gap facing care homes.
Similar(53)
One in five of us now face care costs of over £100,000 in old age.
One person in 10 aged 65 will face care costs of more than £100,000, he says.
At the moment, if you face care costs of £150,000, the worst position to be is right in the middle of the index of wealth distribution.
Half of us face care bills of up to £20,000, but one in 10 will need to pay over £100,000.
Unlocking care chains will also require mitigating the unjust background conditions that force women to choose between providing financial support for their families and being with and providing face to face care for them.
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CEO of Professional Science Editing for Scientists @ prosciediting.com