Council leaders are coming under pressure to reveal the financial ramifications of their decision to withdraw from a deal to sell 20 Norfolk care homes to a private care company.
Reform leaders at County Hall announced earlier this month that proposals to sell the residential homes - spread across the county - to Stow Healthcare had been withdrawn.
Senior councillors said they had decided not to press ahead with the sale, agreed in principle by the former Conservative administration, because it was not in the best interests of the people who live in the homes - or for the Norfolk taxpayers.
While many opposition councillors were against the sale, they have been seeking clarity from the Reform administration about the cost implications of pulling out of the deal and information on what happens next.
The homes are run by Norse Care, a company owned by the council, which was also due to be sold to Stow Healthcare, with staff transferring to that company.
Norfolk County Council's County Hall headquarters (Image: Newsquest)
Norse Care's contract to run the homes has twice been extended while negotiations took place, but its parent company Norse Group had previously announced it wanted to withdraw from the care market.
It could be that the council will look to sell the homes to another private provider, but it could, potentially, run the services in house.
But, in the meantime, it looks likely the council will have to agree another extension to the Norse Care contract.
The council's cabinet is due to consider the next steps at a meeting next month, but at least part of that discussion will take place with the public and press excluded, because commercially sensitive information will be discussed.
Jan Davis (Image: Jan Davis)
Labour councillor Ben Weston and Green councillor Jan Davis, at a council meeting this week, asked for more details about the financial implications, including the cost to extend the contract, to be made public.
Nick Taylor (Image: Norfolk County Council)
Nick Taylor, cabinet member for commercial assets and revenue generation, said: “It is not possible to confirm a cost at this point, however some of the costs incurred to date will relate to work which may have value to support alternative proposals being developed.
“It must be noted that the costs would have been considerably higher had the decision not been taken to withdraw from the sale with Stow.
“Decisions about the extension of the current contract will be considered by cabinet alongside consideration of any associated financial implications in due course.”
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