Dual registration – a death knell

Posted on January 1st, by editor in Caring Times. No Comments

|To increase occupancy, many nursing home owners have considered registering beds for residential care. Ian Holden argues that, under present trading conditions, dual registration is likely to be a recipe for failure.| In my last article (CT, January 2001) I demonstrated the levels at which a typical 40-bed nursing home would have needed to trade in the year 1999-2000 to survive in the long term. It became clear that if average fees had been below £340 per week, survival became very difficult unless average occupancies exceeded 85%. It also explained the difficulties which had arisen where NHP had entered into sale and leaseback arrangements: reflecting a 10.8% return on a notional capital investment of £1.2 million. It follows that the typical dual registered home or “single care home”, with an assumed spilt of 50/50 nursing/residential beds, is unsustainable in future ­ given the staffing requirements demanded by registering authorities, and assuming a substantial proportion of state-aided patients. Even

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