Avery Healthcare, a major care home provider in the UK, has issued new contracts that include controversial fees, sparking outrage from families and consumer advocates. The contracts stipulate that care home fees are payable for 14 days after a resident's death and require an upfront £595 charge for dilapidations, covering damage or wear and tear. These clauses appear to contradict guidance from the Competition and Markets Authority (CMA), which has previously deemed such charges potentially unlawful.
Unfair Charges Under Scrutiny
The CMA announced in 2018 that automatically charging families for more than three days after a resident's death was potentially unlawful, and that charges for normal wear and tear could also be unfair. Despite this, Avery Healthcare has included the 14-day fee and the dilapidations charge in its new contracts. The company, whose majority stakeholders are the multibillionaire Reuben brothers, demands the £595 upfront when a resident moves in, long before the length of stay or room condition can be assessed.
Avery Healthcare argues that the 14-day charge is intended to give relatives time and space to prepare after a bereavement. However, its own terms and conditions reveal that the real rationale is financial. Relatives who remove the deceased's possessions promptly must still pay for the full fortnight, whereas under the previous contract, charges ceased as soon as the room was cleared. Fees are only waived if Avery manages to relet the room within 14 days, in which case the family must continue paying until the new resident moves in.
Regulatory Response and Ombudsman Investigation
The Local Government and Social Care Ombudsman dropped an investigation into a similar complaint when Avery offered to refund the family of a deceased resident as a goodwill gesture. The same offer was made to the complainant, YR, but the clauses remain in the contract, potentially affecting many unsuspecting families dealing with bereavement.
When asked how it justifies flouting regulatory guidance, Avery claimed its charging policy is longstanding and that the old contract predated its acquisition of the care home. The CMA refused to comment on whether it takes action against care homes that ignore the rules, and the Ombudsman stated that it expects providers to follow the law and consider CMA advice when drawing up contracts.
Advice for Families
Consumer champions advise anyone with a relative in a care home to check the contract and complain if such fees are charged. The Ombudsman encourages complaints about unfair charges, though it does not record how many it receives. This case highlights the ongoing tension between care home providers and regulatory bodies, and the need for stronger enforcement to protect consumers.
