Care home owners group recommends acceptance of deal

Scottish Care, the umbrella organisation representing most
private care home owners in Scotland, is to recommend a two-year
package to its members.

After a week of negotiations between Scottish Care, the
Convention of Scottish Local Authorities and the Scottish
executive, care home owners will be asked to accept an increase of
£27 per resident per week from 1 April this year until 31
March 2004. The increase falls far below the £50 per resident
per week sought by Scottish Care, but is likely to be accepted by
members.

The agreed new rates will cost £27 million per year with
£24 million being paid by the Scottish executive, and £3
million from local authorities’ existing budgets. It is in
addition to any inflation increases that may also be agreed. If the
proposal is accepted it will divert the threat of an all-out ban on
council-funded new referrals.