The changes are likely to begin in April next year

A total 4,000 people will no longer pay for care at home and another 6,000 will pay less for it.

The plans, announced by First Minister Rhodri Morgan in Swansea, also included �600,000 for motorised wheelchairs.

He is making the commitment after Labour broke a manifesto pledge last February but campaigners said no-one should have to pay the fees.

The proposals involves the amount of money people will be allowed to keep after care charges.

This would increase from 25% to 35% above income support levels.

Back in February, the assembly government admitted it could not provide free personal care.

It's not going to remove charging and its still going to leave disabled people short of money in their pockets Rhian Davies Disability Wales

Mr Morgan made the announcement at a carers' conference in Swansea.

He said that disabled people receiving home care would in future be able to keep the equivalent of another five per cent of their basic income support to reflect their higher outgoings.

He also announced plans for an extra �600,000 to pay for motorised wheelchairs.

Mr Morgan said: "The proposals announced today go considerably further than our initial announcement in February when the health minister said that we would reduce the impact of charging for individuals receiving domiciliary personal care only.

"This shows our commitment to helping those vulnerable people in our society who need financial support."

Legal problems

The change, subject to the consultation, would begin in April next year, just a month before the assembly election.

Local authorities will be reimbursed for the costs.

The money will come from a �76m package to support older people, disabled people and their carers announced in the wake of Labour's policy reversal nine months ago.

Mr Morgan has previously admitted that the failure to provide free home care for disabled people was not his administration's "finest hour".

At the time the assembly government explained that there were legal problems over how "free" and "disabled" were defined.

These changes will apply to everyone who receives any home care and other non-residential social services, for which they are financially assessed by local authorities.

They do not involved people in residential care.

Cynical betrayal

Disability Wales chief executive Rhian Davies told BBC Wales that the best news would have been the implementation of Labour's 2003 manifesto pledge on free home care.

She said: "The package will go someway to help but it's not going to remove charging and it's still going to leave disabled people short of money in their pockets and that's going to affect their general health and wellbeing and ability to be fully involved in their local community."

Plaid Cymru health spokeswoman Helen Mary Jones said Labour's announcement appeared to be "an attempt to buy off the people they let down by breaking their pledge to provide free home care".

Welsh Conservative Jonathan Morgan warned people would not forget "how Labour betrayed some of the most vulnerable people in Wales" by dropping the previous home care promise.

According to Liberal Democrat Jenny Randerson "Today's concessions cannot disguise Labour's cynical betrayal of disabled people.