Three care home groups reduce 'after death' fees

Care UK, Hallmark Care Homes and The Fremantle Trust have made voluntary changes to their care home contracts to limit the charging of fees after a resident has died.

The changes cover the period for which fees are required to be paid following a resident’s death and the handling of their possessions.

Care UK and The Fremantle Trust has stopped allowing weekly fees to be charged for two weeks following a resident’s death. Hallmark Care Homes Group has halted charging for 28 days after an individual has died.

Care UK made changes to ensure weekly fees are charged for three days, starting from the day after a resident’s death, subject to personal belongings being removed within the three-day period.

The publication of consumer law advice to care home providers by the Competition and Markets Authority (CMA) in November, follows CMA’s investigation into ‘after death’ fees. The new guidance led the groups to make changes to the terms of their contracts.

Care UK: 'We give residents more transparent information than majority of operators'

A spokesman from Care UK said: “We voluntarily revised our fee structure for residents funding their own care in July, which brought our processes in line with new guidance issued by the CMA.

“These changes limited any charges relating to the period following a resident's death to a maximum of three days, provided personal effects are collected or cleared.

"If the room is re-let within the three day period, fees are not charged from the day of re-occupation. For clarity, these are voluntary changes arising from a wide ranging review of our fee structures and transparency rather than a formal regulatory process.

“We continue to give residents and their families more transparent information than the vast majority of care home operators."

"It is now up to the CMA to ensure that its own guidance is followed in a consistent way by all providers in the sector."

The changes made by the groups also prevent deceased care home residents' belongings being removed from care homes or disposed of by staff without efforts made to inform a person’s family/representative.

Freemantle: 'Important to ensure transparency from the outset'

Liz Turvey, company secretary at The Fremantle Trust, said: "The Fremantle Trust has voluntarily made changes to its terms and conditions within residential contracts regarding fees charged after death and the treatment of possessions.

"We felt it was important to articulate this clearly to ensure transparency with our customers from the outset."

Hallmark Care Homes is now charging fees for three days after a resident’s death, unless a new resident occupies the room within this period (in which case charges will stop). If a longer period for collecting possessions is mutually agreed in writing, then charges could be agreed for longer.

A spokeswoman from Hallmark Care Homes said: “We have worked closely with the Competitions Market Authority since they began their initial care home market study in November 2017 and immediately followed their final advice that was issued on the 31st May 2018.

"We will continue to review our practices in line with the CMA’s advice on consumer law in relation to care homes.”

Full details of the care group’s changes can be found on the CMA website.

To view the CMA’s Consumer law advice click here