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Who should pay for nursing home care?

A wheelchair-bound woman suffering from multiple sclerosis has won a groundbreaking High Court ruling concerning who should pay for nursing home care for the chronically ill. Nicola Mackintosh, a partner at Mackintosh Duncan in South London, discusses the implications of the case with Jon Robins...

Maureen Grogan challenged the decision by Bexley NHS Care Trust in south-east London that she was not entitled to fully-funded care from the National Health Service (NHS). As a result, Greenwich local council placed her in a BUPA-run nursing home. She was forced to sell her home to pay fees of almost £100,000. Mrs Grogan challenged the decision of the trust not to fund all her care and accommodation. Mr Justice Charles was critical of Department of Health guidance saying it was "far from being as clear as it might have been, and this has inevitably caused difficulty for this care trust and others". He held that the decision must be quashed because the Bexley trust had applied flawed criteria. He added that the case raised issues with "wide implications" for the sick and disabled and health authorities across the country.

Grogan’s case was based on a 1999 decision of the Court of Appeal in the case of Pamela Coughlan. That case laid down the ‘primary health need’ test, explains Nicola Mackintosh who advised Pamela Coughlan. "So if your primary need is health care and that’s why you are in a nursing home, then the NHS is legally responsible for the entire care package," she says. Social services could only be responsible for care which is "merely incidental and ancillary to the provision of that accommodation", she adds.

"For social services to be responsible, which means it would be means-tested, the care has to be of a quantity and a quality which you would expect a social care agency to provide," the solicitor continues.

In 2001 following the Coughlan ruling the Government introduced a new system for residents of nursing homes called ‘free nursing care for all’. The system, known as Registered Nursing Care Contribution, involved the NHS making a small financial contribution towards the overall costs of the care package. The idea of 'free nursing care' was "misleading", Mackintosh argues, because what they introduced was a method of making a small financial contribution - a flat rate contribution within three bands (low, medium and high) towards the cost of the care that a registered nurse was providing to that person in care.

She argues that most people were dealt with under the RNCC system and not under continuing care. "Only very few people who were about to die immediately were basically eligible for fully funded care. So you had a distortion of the system. Following Coughlan, what should have happened is that, with anybody who should have been placed in a nursing home, one would ask why they had been placed there and was it because their primary need was a healthcare. If the answer was ‘Yes’ then the NHS was responsible for full cost of their care package but as a matter of routine people were being placed in a care home and just being given a financial contribution towards the cost of a registered nursing care and nothing else. The RNCC system was being used as a replacement for continuing care. That is why the judge in Grogan said the case misleading and caused injustice."

(24/03/06)

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Case annotations in other services:-
R v North and East Devon Health Authority, ex p Coughlan (Secretary of State for Health and another intervening) [2001] QB 213, [2000] 3 All ER 850, [2000] 2 WLR 622, 97 LGR 703, [1999] Lloyd's Rep Med 306, 51 BMLR 1, [1999] 31 LS Gaz R 39, 2 CCL Rep 285, 143 Sol Jo LB 213, [1999] All ER (D) 801; R (on the application of Grogan) v Bexley NHS Care Trust BLD 2601060209 [2006] EWHC 44 (Admin), [2006] All ER (D) 166 (Jan)