Pensioners with savings of up to £123,000 are to receive state support with their care costs, under the latest government plans.

Health Secretary Jeremy Hunt will say on Monday that the assets threshold will rise from £23,250 to £123,000, according to reports.

The means-tested threshold is higher than the £100,000 assets limit recommended by the independent Dilnot Commission, appointed by the Prime Minister for recommendations.

Under new pension reforms, the implementation of a £75,000 cap on costs for care will come into force in 2017. This is more than double the £35,000 economist Andrew Dilnot suggested.

Pensioners will still be required to meet accommodation costs for care home stays, which will be limited to £12,500 a year.

Deputy Prime Minister Nick Clegg said in an article for The Sunday Telegraph: "This reform will help protect some of the least wealthy pensioners from care costs - a fact lost on those who have sometimes argued that Dilnot's proposals are just about helping people in big, expensive houses.

"Of course, all these changes come with a price tag. At a time of financial austerity, we have to think carefully about spending more money. But for me it's clear cut: with an ageing population we can't duck this issue again."