Bankers have told an audience at the Care & Dementia Show that a CQC requires improvement is no red line to lending.
The comments came during a roundtable chaired by Nadra Ahmed OBE of the National Care Association at the Birmingham NEC yesterday.
Richard Wilson of Williams & Glynn – RBS said: “Requires improvement could be the new satisfactory in terms of CQC ratings. You can still talk to your bank.”
Jonathan Thompson of Barclays added: “We will still lend money to operators who require improvement provided the overall level of care is strong. The demographics of the sector are very positive and occupancy levels are remarkably robust.”
During the seminar the bankers focused on the key things that banks look for when lending to the care sector while offering financial advice to providers.
Mr Breignan said loan to value was no longer than be all and end all for lenders adding that the quality of care and quality of provider were key given the transparency of regulation.
The National Living Wage and CQC regulation were amongst key challenges facing the sector identified by the panel.
Mr Thompson said: “The next big challenge is who pays for care and how it is paid.”