On Friday the 19th January, the CMA produced a consultation
on outlining draft consumer law advice in relation to the application of fees in residential homes after the death of a resident.
Vic Rayner, NCF Executive Director says
“The CMA are continuing their focus on the residential care sector, following their year long investigation throughout 2017. They have identified the key area of care homes charging self-funding residents or their estate for services after their death, and have proposed a new three day maximum for this charge. However, whilst the report acknowledges the existing anomaly between local authority contractual practice in this area and that applied to self-funded contracts, it does nothing to address it going forward. Indeed, it goes further to suggest that the local authority contractual practice is based on ‘local authorities being well informed, and with equal bargaining power to the care provider”. This is not only far removed from many of the NCF members experience, but is in contrast to the CMA’s own report, which recognised very starkly the underfunding of care provision by local authorities. This does not sound to me like a contractual relationship based on an equal footing, and we hope that the CMA will be looking at challenging local authority contractual practice to bring it in line with it’s proposed consumer law advice to be applied to care home contracts with individual residents”.