Care Homes: Finance

(asked on 11th January 2017) - View Source

Question to the Department of Health and Social Care:

To ask Her Majesty’s Government, further to the Written Answer by Lord Prior of Brampton on 15 December 2016 (HL3810), how many care home providers are currently subject to the Care Quality Commission’s (CQC) Market Oversight Scheme where the CQC is exercising enhanced oversight of the financial sustainability of the care provider.


Answered by
Lord O'Shaughnessy Portrait
Lord O'Shaughnessy
This question was answered on 25th January 2017

There are currently 49 providers in the Market Oversight scheme, of which 38 are care home providers.

The Care Quality Commission (CQC) have no right of veto in ensuring that a care group is adequately capitalised as this falls outside of the CQC’s regulatory remit. However, financial viability is considered in relation to all providers when they apply for registration with the CQC. The CQC will refuse registration if providers cannot demonstrate that they have the financial resources needed to provide and continue to provide the services as described in their statement of purpose and to the required standards. This assessment is made in relation to the applicant who will be a Registered Provider, but will not necessarily be the owner, as set out in the question. The CQC’s powers of enforcement are limited to Registered Providers. In all circumstances where poor care is identified during an inspection, the CQC will act to protect service users, whatever the cause, and this could include financial stress.

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