– Care and Support Minister Norman Lamb
Everyone who receives care and support wants to know they will be protected if the company in charge of their care goes bust.
The fear and upset that the Southern Cross collapse caused to care home residents and families was unacceptable.
This early warning system will bring reassurance to people in care and will allow action to be taken to ensure care continues if a provider fails.
Care home owners will be forced to prove they are financially stable to avoid a second Southern Cross-style collapse, officials said. The Government is to implement a series of safeguards to prevent a repeat of the crisis.