More than 50 jobs at risk as Greenock care home faces closure due to rising costs

Yahoo

29-04-2025

MORE than 50 local jobs are at risk as a Greenock care home which has been looking after elderly people for almost a century faces closure.
Glenfield Care Home in Bedford Street has been run by the Greenock Medical Aid Society (GMAS) since it was purchased by the charity in 1926.
The facility offers nursing care for up to 33 residents in small group living environments.
But the charity says that 'rising costs' and 'sector-wide challenges' have led it to conclude it is 'impossible for us to continue to operate Glenfield'.
Senior managers told residents, their families and staff the 'devastating' news yesterday.
GMAS, which also oversees Bagatelle Care Home in Eldon Street, has been providing care services in Inverclyde since its formation in 1798.
Glenfield Care Home in Bedford Street is under threat of closure. (Image: Newsquest) A spokesperson for GMAS said: 'Following a period of heavy weekly losses we have spent the last six months reviewing our options for GMAS with the help of external consultants.
'In light of all the evidence available to us and despite our best efforts to turn around the serious financial situation earlier this month our trustees agreed that the closure of Glenfield Care Home was a potential necessity to ensure we remain sustainable, as a charity, into the future.'
Increases to employer National Insurance and National Care Home Contract rates are said to have made the continued operation of Glenfield 'impossible'.
GMAS says the charitable donations it receives no longer make up the shortfall between the money it receives from residents and local authorities and the cost of delivering its services.
In a statement, the charity confirmed the potential closure places a total of 54 jobs at risk - and said the situation was 'set in the context of a post-pandemic social care funding crisis'.
(Image: George Munro) The spokesperson added: "GMAS currently supports the actual cost of each local authority funded resident's care, by over £22,560 each year (i.e. the cost of care versus the actual cost of providing that care).
"Unchecked, operating losses would leave us without the resource to adapt our services in an ordered and coherent manner.
"Lower than budgeted occupancy, increased staffing costs - particularly the increases to employer NI and the new National Care Home Contract rate increase of 5.79 per cent for 2025/26 for all socially funded care residents - have made it impossible for us to continue to operate Glenfield Care Home.
"It is with great sadness that we need to make the very difficult decision to potentially close this home.
'This is an extremely difficult time for our residents, their families and our staff.
'GMAS will do everything possible to save as many of the 54 jobs now at risk of redundancy and ensure our residents continuity of care.
'We will work closely with all those affected and with our statutory partners, Inverclyde HSCP, other local authorities and the Care Inspectorate.
'This potential decision is to ensure that GMAS remains at the forefront of providing high quality care at Bagatelle in the future, as we have done for the past 227 years.'