NHS Highland and the Highland Council have called an extraordinary general meeting in an attempt to save the failing adult social care sector.
And a Highland Council report reveals that the Scottish Government has been asked to intervene.
Demand on adult social care has hit an all-time high following the pandemic. However, NHS Highland has fewer care home beds and significant gaps in community services.
The health board and council held frank talks at their joint monitoring committee (JMC) last month. NHS community services boss Louise Bussell warned that many services are unsustainable, calling the adult social care sector “pressured and fragile”.
Now, the committee has agreed to reconvene next month for an extraordinary general meeting.
Significant risk of collapse
A report to this week’s meeting of the full Highland Council states:
“At the JMC meeting on 5 October, a decision was made to hold an extraordinary meeting in November to consider the potential collapse of the care home sector in parts of the Highlands.
“The general risk in relation to future care home delivery is already included in the council’s risk register as a significant risk.”
The report sets out the main problems:
- inability to recruit and retain staff
- no accommodation for staff
- short notice closures
- insufficient care home capacity
- lack of funding to replace provision
- the nature of rural demand
Adult social care providers in rural areas are at the highest risk, because the geography prevents them from operating economies of scale.
Highland Home Carers boss Campbell Mair urged the council and NHS to take swift action, warning that independent providers could soon go to the wall.
Redesign work is not enough
NHS Highland has already undertaken extensive redesign work, often sparking controversy in rural areas including Caithness, Sutherland and Skye.
However, Highland Council says it’s time to take more radical action:
“Significant and accelerated redesign is required, as the current approach is no longer viable or affordable.”
Indeed, the JMC meeting revealed an eye-watering £70.7 million deficit in the year to date. While NHS Highland has a savings plan in place for some of that money, it has no plan for the remaining £33 million.
Adding to the pressure, the Scottish Government says it will claw back £7 million in unspent Covid money.
Highland Council to consider actions on finance crisis
Highland Council has its own finance problems. The 72-page financial crisis report going to council on 27 October reveals a £40.9 million budget gap. Meanwhile, its non-earmarked reserves are just 1% – well below the 3% recommended target.
The Highland Council report acknowledges the scale of the challenges facing the council and its partners. High Life Highland requires an additional £400,000 from the council to make ends meet, and the council is also considering an emergency funding uplift for independent nursery providers.
Members will discuss the repercussions of the financial crisis on Thursday, while an update on adult social care will come to the full council before the end of the year.
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