Four Seasons Group

Lord Sutherland of Houndwood Excerpts

Monday 11th January 2016 Lords Chamber

[Lord Prior of Brampton]

My Lords, it is up to local authorities to have contingency plans in place in the event of the closure of a home in their area. As I said earlier, the Local Government Association has indicated that at least 95% of local authorities have contingency plans in place.

[Lord Sutherland of Houndwood (CB)]

My Lords, the problems of care home residents through the demise of Southern Cross was dealt with very significantly by the rest of the care home sector; a condition of that happening was that it was in “robust condition”. Can the Minister reassure us that the care home sector is currently in equally robust condition?

[Lord Prior of Brampton]

My Lords, it is true, as the noble Lord says, that the fallout from the collapse of Southern Cross was that the industry took on most of the homes currently owned or operated by Southern Cross. I think that if a large provider went into insolvency, many of those homes would be taken over by the industry. The important thing is that the industry has confidence in its long-term future. As I said earlier, I believe that the commitment to increasing the better care fund and allowing local authorities to have a 2% precept for social care will provide that level of long-term confidence.