Council to run four Northamptonshire care homes nine years earlier than costly and controversial PFI contract planned

The management of four care homes in Northamptonshire is being taken over by the council nine years earlier than a controversial PFI contract planned.

Northamptonshire County Council has come to an agreement with Shaw Healthcare to operate Turn Furlong in Northampton, Spinneyfields in Rushden, Thackley Green in Corby and Longlands in Daventry.

They had been built and ran by the firm as part of the private finance initiative (PFI) deal struck in 2003, which was reportedly costing the local authority £2 million a year.

Northampton South MP Andrew Lewer said: “I am delighted that Northamptonshire County Council and Shaw have reached this agreement.

"This will help to ensure that the council can be more flexible in how it supports people in Northamptonshire who need short-term care so that it is better able to meet modern social care demands”

In 2018, around 50 to 70 per cent of beds were reportedly unoccupied each week at Shaw’s care homes as patients the county council referred did not qualify under the 26-year contract.

The deal was due to run until 2029, at which point the centres were due to transfer to the council, but negotiations have been ongoing to change the terms of the agreement.

Last year, the council received a £100,000 settlement from Shaw over its performance and now the private company will only be responsible for the buildings themselves.

A council spokesperson said adult social care needs have changed significantly since the contract began.

Cabinet member for adult social care Ian Morris said: “Adult social care needs have changed significantly since the original contract was first agreed.

"We have been looking at all options to find the best way forward so we are delighted to have been able to work collaboratively with Shaw to come to this agreement

“Through this agreement, we will have flexibility and control over how the four specialist care centres are used to meet the needs of local people and they will be a key part of how the new unitary councils support people requiring short-term care and support in Northamptonshire.”

The care homes were originally built to provide short-term specialist nursing, rehabilitation, respite and dementia care for older people over 65.

Longlands was then changed through a contact variation in 2013 from short-term care to longer-term nursing and dementia care.

Shaw chief operating officer Mike Smith said: “Shaw wishes Northamptonshire County Council and the residents of the services the very best and we will assist them in ensuring a smooth cross over.

"Our employees will be transitioning with the service so they can be assured of a consistent level of care with familiar faces.

“We have expressed previously that we are happy to be flexible in supporting the needs of the council and the people of the area.

"As well as our previous amends we’ve made over the duration of our contract we hope that this is recognised as another example of how we have adapted to facilitate Northamptonshire’s changing needs.”