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Wales faces ‘postcode lottery’ in care home fees, say sector representatives

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ALL local authorities in Wales should standardise payments for care home places, according to Care Forum Wales, the organisation representing the sector. The current system, where fees are set by individual councils, has led to stark discrepancies across the country, creating what the forum describes as a “postcode lottery”.

A significant variation in weekly charges for basic care has emerged between neighbouring counties, with some care home owners warning that the situation could force more closures. In two adjacent counties, the fees can differ by as much as £70 per week.

The Welsh government has acknowledged the issue, stating that its new National Office for Care and Support is considering measures “to bring about consistency”. However, it has also indicated that fee rates will continue to differ due to “local factors like land values for care homes”.

The Welsh Conservatives criticised the current approach as a “false economy”, arguing that social care and health services should not be competing for resources. Plaid Cymru echoed the need for change, calling for a “transformational change” in the health service.

Orme View care home in Llandudno, Conwy county, has seen its fees rise this year, following a decision by Conwy council to break away from the system where all councils in north Wales set their fees collectively. Instead, the council has adopted a new fee structure based on recommendations from an independent assessor, resulting in significantly higher payments.

Steffan Robbins of Orme View welcomed the change, calling it “an amazing, positive step forward.” Speaking to Politics Wales, he said, “Conwy have taken that step to really assess the true cost of care and make sure they deliver a fee that’s affordable to them, but also a fee that reflects the true costs that we’re seeing in the sector.”

In contrast, the Old Vicarage care home in Llangollen, Denbighshire, is receiving thousands of pounds less per resident each year compared to Orme View because it relies on the fees set by Denbighshire council. Although there has been an increase in fees this year, it remains substantially lower than the rates in neighbouring Conwy.

Currently, the fees for basic care in Conwy are £846 per week, while in Denbighshire they are £774. The disparity means that some care homes, like the Old Vicarage, are forced to charge residents additional top-up fees to stay afloat.

“It’s very disappointing,” said Bethan Mascarenhas, who runs the Old Vicarage. “As somebody who’s very invested in the work that they do, we really strive to give the absolute best level of care… Unfortunately, the divide between the fees will make that difference in what you can provide.”

A call for change

Care Forum Wales, the umbrella organisation for Welsh care homes, has warned that the current system is undermining facilities in areas where the fees do not reflect the actual costs. Chairman Mario Kreft emphasised the need for uniformity, stating, “The new National Office for Care and Support needs to ensure we have parity across Wales, that there is at least an understood basic level of funding across all local authorities and health boards. We’ve got to move away from a postcode lottery.”

Denbighshire council responded by asserting that it is striving to balance financial constraints while ensuring the sustainability of the care sector in the county. “We have worked hard to strike the delicate balance between navigating challenging financial constraints and ensuring that we are maintaining a sustainable future for the care sector in the county,” a spokesperson said. The council also noted that it has not seen evidence to suggest that differing fee rates are affecting the solvency of care homes in Denbighshire.

Speaking to BBC Politics Wales, Welsh Conservative MS Sam Rowlands urged the Welsh government to ensure that local authorities receive adequate funding to properly compensate care homes. “It’s kind of a false economy pitching social care against health services, because we know that there are hundreds and hundreds of beds in our hospitals at the moment which are blocked because people cannot access the care services that they need,” he said.

Plaid Cymru MS Mabon ap Gwynfor also called for a significant shift in the approach to care services. “We need to see a transformational change within the care service,” he said. “We need to see the Welsh government actually put this first and foremost as a priority… and to deliver that national care service so that care is free for individuals, that people working in the sector are paid properly, so that we know that our loved ones get that care.”

The National Office for Care and Support is currently exploring the possibility of introducing national fee methodologies to standardise care home fees. However, it has indicated that this does not necessarily mean a single national fee rate, as fees will still vary according to local factors such as land values for care homes.

The debate continues as stakeholders await the government’s next steps in addressing the inequalities in care home funding across Wales.

Business

Saundersfoot 72-home development work set to begin

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PLANS by one of the UK’s largest housebuilders to build 72 homes, 25 of them affordable, on the outskirts of a Pembrokeshire seaside village have been given the final sign-off, with works due to start in the spring.

Back in 2022, Persimmon Homes applied to Pembrokeshire Coast National Park for the scheme on a 2.26 hectare area of land adjoining the northernmost houses of a long-established Sandyhill Park residential estate, Saundersfoot.

The application, including 47 open market dwellings, proposed a variety of detached, semi-detached, terraced and apartment properties to create an “attractive and integrated extension to Saundersfoot”.

The application was given delegated approval when it came before the national park’s July development management committee, with conditions including the completion of a Section 106 legal agreement relating to the affordable housing.

The affordable housing units will be split into four low-cost ownership units and 21 socially rented units, the report for national park planners said; the 35 per cent affordable percentage taking precedent over an affordable housing policy requirement of 50 per cent as it is designated as an allocated site.

As well as the affordable housing element and an open space provision, the scheme included a financial contribution to cover the contribution towards Active Travel Routes within the local area (Saundersfoot Harbour to New Hedges).

After that approval, Persimmon Homes West Wales and Pembrokeshire Coast National Park have now signed the S106 agreement and Persimmon is planning to begin groundworks next Spring, with sales launching soon after ahead of the summer season.

Welcoming the agreement, Persimmon Homes West Wales’ Managing Director, Stuart Phillips, said: “We’re pleased to have finalised the S106 agreement that will allow us to deliver 72 new, high-quality homes for local people in Saundersfoot.

“The development will provide a wide range of zero-carbon ready homes that will be of particular help to young families and first-time buyers, who otherwise might struggle to get onto the housing ladder in Pembrokeshire.

“Throughout the planning process, we have worked closely with officers and stakeholders to ensure that our homes are in keeping with – and enhance – the local area, and I’m thankful to officers and the project team for their collaborative efforts throughout.

“The scheme will deliver substantial community benefits, including new facilities, enhanced green spaces, and significant investment in public infrastructure, as well as the transfer of 25 properties to a local housing association.

“Persimmon has a proud record of delivery in Pembrokeshire, and we are excited about this latest development as we continue to build the best-value homes in sustainable and inclusive communities for local people.”

Local community council Saundersfoot had objected to the scheme on a number of grounds, also asking for a caveat that no property is bought for second-home holiday use.

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Business

West Wales man raising funds for craft cider venture

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A PENYBRYN resident is appealing for community support to launch a small-scale craft cider business in West Wales. Olly Craigan, the organiser of the GoFundMe campaign titled “Craigans Cider,” has already raised £545 towards his goal of £12,000. The funds will go towards purchasing essential equipment to establish a permanent apple press and cider workshop.

Since 2014, Craigan has honed his cider-making skills under the mentorship of experienced cider maker John Whitfield. Now living on a community organic farm in Pembrokeshire, Craigan is seeking to create a dedicated space for producing his craft cider.

The funds raised will help purchase an apple press (£4,500), scratter apple mill (£1,500), filtration and pumping systems (£950), stainless steel tanks (£2,500), and bottling equipment (£1,000). Any donations beyond the target will support operational costs and community cider-making workshops.

Craigan plans to thank supporters by inviting them to a grafting day on the farm, where attendees can sample cider and take home an apple tree.

Further information and donations can be made on the GoFundMe page here.

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35 affordable homes plans for Cleddau Bridge Hotel site submitted

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A FORMAL application on plans to build 35 affordable homes on the fire-ravaged site of the former Cleddau Bridge Hotel, Pembroke Dock has been submitted to Pembrokeshire County Council.

A pre-application consultation on the plans was held in September and October ahead of the formal submission.

In a prime location at one of the entrances to Pembroke Dock the former Cleddau Bridge Hotel has been derelict since a fire in March 2019, which brought emergency services from as far afield as Ammanford, Aberystwyth and Swansea.

A previous planning application for the demolition of the hotel and siting of a residential care home and linked bungalows was submitted in October 2022 and which was subsequently granted permission in February 2023.

This permission, whilst in outline, is still live and allows for the loss of the hotel use of the site and its alternative redevelopment as a residential care home.

The site has now been purchased by Castell Group Property Specialists who specialise in delivering affordable housing in South Wales and have undertaken a joint development deal with Pembrokeshire County Council (PCC) and that deal was agreed back in April 2024.

Castell Group Property Specialists, through agent Hayston Developments & Planning Ltd, now wants to demolish what is left of the hotel, with a development of affordable housing units, with landscaping and ecological enhancements, the housing being 100 per cent affordable, a mix of social rent and affordable housing.

Initial discussions with the council were for 38 affordable units, which has been lowered to 35 in a mix of 16 one-bed units, 11 two-bed units, six three-bed units and two four- bed units.

The applicants say: “The application offers an opportunity to find a solution to the redevelopment of the site, which has now been vacant and derelict now for some five years, and to make a significant contribution towards meeting the affordable housing needs of the area. The proposal is unique in that the scheme would be in the form of 100 per cent affordable housing.”

The application will be considered by county planners at a later date.

Mid and West Wales Fire and Rescue Service has previously said the 2019 fire was started by a deliberate act.

Following a fire investigation, Dyfed-Powys Police said they found there to be insufficient evidence to identify a suspect.

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