The county council wants to increase the availability of high-quality nursing care in Hertfordshire, as part of plans designed to attract social investment.
Demand for nursing care, particularly for dementia care, is increasing across the county – leading to limited availability and increasing numbers of patients being placed outside of Hertfordshire.
By 2032, county council estimates suggest there will be a 839-bed shortfall in the county for the nursing provision that it funds. And that will result in additional costs to the council of around £18m.
So, in recent months, social care chiefs at the council have been looking at ways the council could support the delivery of additional provision in Hertfordshire. And now they have drawn up plans that would increase nursing home capacity through the use of ‘social investment’.
As part of the approach, the council would look for institutional investors, such as local government pension schemes, who are looking for long-term and low-risk opportunities, with a high social value.
And that investment would enable the delivery of new, purpose-built nursing homes across the county. The council would then take on a long-term lease for the buildings, but sub-lease to care providers to deliver the service to residents, with income from providers expected to cover the costs incurred by the council.
According to officers, the approach would improve stability in the market and enable more residents to receive care closer to home. And in the longer term, they say it would provide better value for money for the council, by reducing reliance on higher-cost placements outside of the county.
On Tuesday, the approach was unanimously backed by a meeting of the council’s resources and performance cabinet panel.
However, a decision on whether to progress with the social investment model – or not – will be taken by a future meeting of the council’s cabinet.
At the meeting of the resources and performance cabinet panel, director of planning and resources for the council’s adult care services, Jackie Albery, told councillors that the private market could not meet demand.
And she said that direct council development had become “increasingly constrained”, due to borrowing costs, construction inflation and delivery risk.
Nevertheless, she said the proposed social investment model would deliver between six and eight new nursing homes. And that, she said, would provide around 800 additional nursing beds, of which up to 200 would be secured as “affordable capacity” for those residents supported by the council.
According to the proposed timetable, Ms Albery said the first homes were expected to open from 2028, “helping to stabilise the market, improve access to care closer to home and reduce long-term financial pressures”.
During the meeting, Cllr Fiona Thomson (Conservative, Hatfield Rural) acknowledged the need for nursing beds within the county, pointing particularly to patients with dementia. And she said the “very interesting model” would reduce risk to the council and “makes absolute sense”.
Cllr Ian Albert (Labour, Hitchin North) said that while he would prefer there to be direct delivery of care homes, this proposal would help “to deliver some really good outcomes”.
During the debate, questions were asked about the impact of local government reorganisation (LGR) – that would see the current structures replaced by two, three or four unitary authorities.
In response, Ms Albery assured councillors that the programme was designed to be flexible. And she said that whatever the chosen structure for local government in Hertfordshire in future, these proposals would put care homes in each of the new authorities.
A decision on whether to adopt the social investment model is expected to be taken by a meeting of the council’s cabinet on June 18.
Source: https://www.hemeltoday.co.uk/news/politics/

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