Government has not acted to avoid repeat of Southern Cross care home collapse, say MPs

BMJ 2011; 343 doi: (Published 06 December 2011) Cite this as: BMJ 2011;343:d7964
  1. Ingrid Torjesen
  1. 1London

The government needs to monitor the care market better at local and regional levels to minimise the risk of another provider like Southern Cross collapsing, MPs have concluded.

A report from the House of Commons Public Accounts Committee published on Tuesday 6 December raises concerns about the trend towards fewer, larger providers of residential and home care.

The danger of having too few large providers in a particular area was highlighted when Southern Cross collapsed earlier this year (BMJ 2011;342:d3535, doi:10.1136/bmj.d3535), putting the welfare of 31 000 residents in jeopardy, says the committee. The group collapsed because it funded its expansion by selling the freeholds of most of its 750 homes on terms guaranteeing annual rent increases and was …

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