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Residential homes to close in droves

Experts are warning that thousands of care homes will have to close if local authorities can not stump up a decent rate for the residents they are funding.

BUPA, the second largest care home provider in the UK, has warned that homes will struggle to make ends meet if councils can not pay for the residents.

Councils currently pay far less for residential care than private residents do, and now BUPA says that more than 80,000 residential care home places will be lost by 2021 if councils don't increase these payments. That’s the equivalent of 2,200 care homes - a sixth of all the places in the country.

But cuts mean that councils are not even considering increasing payments, and the government can’t afford to bail out the whole sector like it did the Southern Cross residents. Meanwhile private residents will have to pick up the slack – and most can’t afford to that.

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