We published a news item in September 2000
because of our concerns for the future of this business sector.
Since then
the number of closures has been quite phenomenal as a result of
the effect of the new regulations and pressure from the DHSS in
holding down fees. The impact has been greatest in those the smaller
and less well managed Homes. We have acted for a number of proprietors,
in many cases there has been a successful outcome ð and attributable
either to a buoyant housing market, with the opportunities for
redevelopment of the site, or because we have been able to inject
expertise to bring the Home up to standard and to effect a sale
as a going concern.
The National Care Standards Commission (NCSC),
a non-departmental public body, took over the regulation of social
care and private and voluntary health care in England on 1 April
2002. They will implement the national minimum standards published
by the Department of Health and following the Care Standards Act
2000.
These new regulations redefine the service categories,
and the titles 'Residential Care Home' and 'Nursing Home' go, and
are replaced by:-
'Care Home providing personal care'
and
'Care Home providing nursing'
The categories of ¹residents¥ have also been
defined in some detail ð so that the management of the care regulations
can be correctly monitored and assessed.
Specific minimum standards have been published,
after consultation, and apply to all new and existing establishments.
Control of the sector has now passed to the NCSC who are now starting
the new regulatory processes. A pre inspection audit, against the
national minimum standards, by individual proprietors has started,
and following discussions with the NCSC, action plans for changes
with timescales are to be implemented. Failure to complete these
plans will result in prosecution and/or cancellation of registration.
The minimum standards are lengthy, somewhat complex
and focus on all aspects of care The smaller, less financially
sound, establishments will struggle with the costs of
-
Providing correct levels of ¹residents¥ space
- in bedrooms and communal rooms
-
Providing access to toilets and numbers of
assisted baths to residents
-
Meeting room sizes standards
-
Provision of passenger lifts (subject to
assessed needs and Safety Executive / Fire Service recommendation)
-
Provision of adjustable beds
and so on. The likely increases in staff
costs to provide the social care needs of their Æresidentsï coupled
with the National Insurance increases next year will add to the
pain.
The full requirements are set out at www.controlstandards.org.uk.
DHHS funding is anticipated to continue to be
tight, however there seems to be a political will to pay more for
patient care and funds seem to follow when pressure is exerted.
There is a timescale (up to 5 years) to some
of the more Æonerousï regulations and some of the requirements
will stretch the weaker units financially. The Industry estimates
are that only those well-managed homes with 40+ beds will be financially
viable under the new regulations. Certainly banks have little appetite
for premises below that number.
The NCSC has a wider remit than health care
and will also regulate childrenïsï homes, private hospitals and
clinics, day centres, welfare aspects of boarding schools as well
as a range
of fostering and adoption agencies and so on.
P & A Sheffield have considerable experience
in this sector ð if you are a professional advisor with clients
with emerging problems or a proprietor with concerns for your future,
please speak to Jeremy Priestley or Phil Revill on 0114 275 5033.
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