Care homes £173m investment set to be halted

Galya Dimitrova
BBC News
Hampshire County Council A bed in a care home. There are blankets and a couple of cushions on top of it.Hampshire County Council
Hampshire County Council originally wanted to spend £173m on accommodation and specialist care

A council is set to row back on a planned £173m planned investment in specialist nursing accommodation for the elderly.

In 2024, Hampshire County Council decided to close seven care homes and invest more money in specialist care, with funds primarily raised though external borrowing.

But the local authority said "a number of key considerations" had changed, including the predicted building costs increasing by at least £45m.

The council said it would "carefully explore the impacts" on its existing care homes.

Under the plans which were approved in February 2023, Bishops Waltham House, Solent Mead in Lymington, Green Meadows in Waterlooville, as well as Westholme in Winchester and Malmsbury Lawn in Havant, were closed.

Two care homes which were temporarily closed since 2021 - Copper Beaches in Andover and Cranleigh Paddock in Lyndhurst - were not reopened.

Three new homes would have focused on short-term support and complex dementia care, which the council said it hoped would prevent hospital admissions.

A council report has now said the original business case for the investment "no longer makes good financial sense".

Liz Fairhurst, the council's lead for adult social care, said: "While the demographic picture remains unchanged, we were not able to predict the inflation-busting price increases being seen across the building industry."

She said the original decision had been reconsidered with "new ways of buying care" meaning "less expensive, good quality beds" were available through the private sector.

"Should the decision be taken to halt this investment, we will carefully explore the impacts and consider how best to support our existing [county council] care homes to continue to deliver good quality care and support in the future."

Ms Fairhurst said the council remained committed "to continuing to expand the care choices Hampshire residents have available to them".

The council's cabinet is due to discuss the plan at a meeting next week.

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