Daily Mail

Rip-off care homes may be breaking law

- By Steve Doughty Social Affairs Correspond­ent

UNSCRUPULO­US fees billed by care homes to vulnerable elderly people and their families may be illegal, a watchdog said.

Charges for residents who died months earlier are one of a range of controvers­ial practices, the Competitio­n and Markets Authority said.

It also pointed out yesterday how people were charged before a resident even entered a home, the power of homes to threaten people with eviction, and the failure to advertise prices.

Its interim report said homes make it difficult for residents and families to complain.

All the abuses were targeted at selffundin­g residents, who pay their own fees, many of whom are forced to sell their houses to cover bills that commonly exceed £600 a week. Self-funders are often milked by care home owners to offset the lower fees paid by councils for taxpayer-funded residents. The watchdog said it was considerin­g calling for new legislatio­n to tighten the rules on care home bills when it produces its final report next year. It began an investigat­ion last year over fears that elderly people who needed care home places, and their families, were being exploited.

Andrea Coscelli, acting CMA chief executive, said: ‘We have concerns that some homes might be breaking consumer law. Some of the most vulnera- ble people use care homes, often moving to them under difficult circumstan­ces. It is essential they are able to make informed choices, understand how services will be paid for, and be confident they will be fairly treated and able to complain effectivel­y. ’

The report states: ‘Many people find it difficult to get the informatio­n they need, are confused by the social care system and funding options, and do not know how to find and choose between homes.’

The CMA is bringing a test case to court to see how far residents are protected against sharp practice by current legislatio­n.

It also rubbished industry complaints that fees were too low and homes faced closure, insisting ‘returns to the sector overall are sufficient to cover current operating costs’.

Gillian Guy, of Citizens’ Advice, said: ‘Older people and their families are suffering unnecessar­y distress and financial pressure due to gaps in consumer protection.’

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