Council repeats pledge as Southern Cross collapses
District council will help vulnerable residents after care provider Southern Cross goes bust
RESIDENTS in West Berkshire living under the care of ruined care provider Southern Cross will not be turfed out onto the streets, according to the district council.
The firm was forced to announce its wind-up to its shareholders this week but while the district council has confirmed contingency plans are in place for the residents living at the homes under its jurisdiction, those employed by the firm face an uncertain future.
The West Berkshire Council portfolio holder for community care, Joe Mooney (Con, Birch Copse), recently gave assurances that should the firm collapse the council would step in to aid those in need, and following Southern Cross's demise he has reiterated that promise.
“We are working hard to reach a successful result to this situation and would like to assure residents that they will continue to receive a service and will not be left without care,” he said yesterday (Wednesday).
“Councils across the country have been aware of the Southern Cross issues for some time and contingency plans are already in place and will implemented according to the outcome of the discussions."
West Berkshire Council provides services for 25 residents at Hungerford Care Home in Wantage Road, Hungerford Newtown, 22 residents at River View in Rodway Road, Tilehurst, and 20 at The Hollies in Reading Road, Burghfield Common.
Shadow councillor for community care Julian Swift-Hook (Lib Dem, Greenham) said he had been monitoring the situation and expressed concern over what he had heard.
“I have not been very satisfied with what I have heard from the council up until this point and will be asking a question at the next Executive meeting,” he said.
Crisis talks between Southern Cross, which is the UK's largest care home operator, its landlords and Government officials were held last month to discuss which of the 751 homes it runs across the country were to be shut down as part of measures to save the company after it posted losses of £311 million.
It had already announced it was to axe 3,000 jobs in an effort to stave off ruin, but the move looks to have been in vain, and now the long-term future of the staff employed at the homes is uncertain as other operators will now be approached to take them over.
A spokeswoman for West Berkshire Council, Peta Stoddard-Crompton, said: “Southern Cross have confirmed that they are in discussion with landlords about the future of both homes and that it is possible that they may transfer to a new care operator. It is hoped that formal confirmation of this will be provided by the end of this week or the beginning of next week.”
