Larchwood Care has announced the closure of five of its homes. The remaining 50 homes in its portfolio are not affected.
Brookes House in Brentwood, Copper Beeches in Liss, Mountwood in Andover, Wickwar in South Gloucestershire and Withy Grove in Preston will be closing on or before 31 May 2019. Notice has been given to local commissioners and residents, families and staff have been informed.
Tony Stein, chief executive of Larchwood Care, said: “These five homes have been losing substantial amounts of money over an extended period of time and their continued operation has become unsustainable for the company.
“There are a number of external sector-wide factors that have contributed to this decision, including the inadequacy of fees paid by commissioners, high operating costs and, low admission rates. These factors impact upon staff morale and make recruitment of staff very difficult.
“It was hoped that we would be able to work through these issues but it is clear that, given the issues the sector faces, we are unable to do so. We will work closely with social services, CCGs and others to support residents and their families at this difficult time. We will also work with employees to help find alternative employment, however we do anticipate redundancies.
“This has been an incredibly tough decision to take and all other options have been considered. It is the individual circumstances of the homes that have led to this decision and we would reassure residents, families, staff and commissioners that all our other homes will continue providing the excellent care the company prides itself on.”