SIR – The chairman of Southern Cross, the UK’s largest care home operator, says it faces a critical financial position and cannot afford to meet its future rent obligations in full.
The care of 31,000 frail and disabled residents is now at risk in Britain, including its sites in Worcestershire.
This is a major warning to us all of the risks of privatising the NHS and the ‘any willing provider’ policy.
Southern Cross sold the property freeholds on its care homes during the housing boom to maximise profit.
The shareholders no doubt agreed this was a wise commercial decision.
Their lack of foresight now means that they are hostage to unaffordable rents agreed with private equity companies and the share price has plummeted.
There is speculation that the Government or local authorities cannot allow Southern Cross to fail and will have to step in to ensure the care of its clients.
Government bailing out businesses after greedy bosses have made a fortune?
Sound familiar?
We must not let this happen to the NHS.
Florence Nightingale didn’t require a bonus to motivate her to care for the sick.
We must keep the public service values of care and compassion and people before profit.
LYNN DENHAM
Worcester
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