December 2019 - Ombudsman Criticises Care Home for Increasing Fees

05/12/2019
The Local Government and Social Care Ombudsman has criticised a care home for increasing its fees by 25 per cent and threatening to evict a resident if the fees were not paid

The resident was an elderly woman who had lived in a care home in Kent run by Foxley Lodge Care Ltd since 2015. Her monthly fees had not increased, despite the care contract saying the home could increase fees by 5 per cent a year if necessary.

 

However, in March 2018, the family were suddenly sent a bill for more than £3,000 and were told to pay within 14 days. The care home said this was for backdated increases for the preceding two years which it had not previously requested. It added that it would charge 2 per cent interest daily if the amount remained outstanding after the initial fortnight and also threatened eviction.

 

Following an investigation, the Ombudsman recommended that the care home:

 

Stop asking the family for the backdated increase

Withdraw the threat of eviction 

Review its contract to ensure it complies with guidance issued by the Competition and Markets Authority (CMA) and

Review its complaints handling to ensure complaints are responded to properly

 

The Ombudsman also advised that he would share his findings with the Care Quality Commission, stating that care homes have every right to increase their charges so long as they do so in a fair and accurate way which is in line with both their contracts and CMA guidance.

 

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