Care sector ‘leaks’ £1.5bn every year

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Hundreds of millions of pounds of care home fees paid by residents and local authorities are never reaching frontline services, claims a report.

The Centre for Health and Public Interest has revealed £1.5bn a year “leaks out” through rental payments, interest on loans, and profits.

The figure is 10% of the total annual income of the UK care home industry.

The think tank says some of this money could be used for frontline care if the industry were restructured.

The centre’s study – which is part funded by Unison – analysed the accounts of 830 adult care home companies across the UK.