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Future of Allied Healthcare in Doubt

Posted 163 days ago | 06.11.18

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Future of Allied Healthcare in Doubt

For the first time ever, the Care Quality Commission has issued a notice to the effect that there are serious doubts about the future of Allied Healthcare from the end of this month. The firm denied this, saying the statement was "premature and unwarranted”.

The company provides services, such as helping washing and dressing, to more than 13,000 people across the UK. It works with local authorities across 84 council areas, which amounts to more than half of all areas.

The regulator has written to all the affected local authorities as they have the responsibility to step in if services are disrupted. It has a legal duty to warn councils that business failure was likely and services could stop as a result in its view

Earlier this year the company admitted it was struggling with debts, blaming low fees paid by councils, but it managed to restructure its finances on that occasion. However, the CQC has now said the company could only confirm it had funding in place until 30 November. 

It does not mean failure will definitely happen, just that if nothing changes it seems likely. 

The BBC has reported that an offer has been made from a new lender that could secure the firm's immediate future.

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