Competition and Markets Authority publishes guidance on care contracts

The Competition and Markets Authority (CMA) has published its long-awaited final guidance on care contracts and consumer law obligations which will have significant implications for care home providers.

The new guidance requires all care home providers to review the way they operate in terms of the contract with their service users as well as admissions procedures, marketing and complaints handling.

In the months leading up to today’s publication, our Health & Social Care team has been working closely with care providers to review their contracts and procedures to work towards bringing them in line with consumer law obligations.

The CMA guidance is there to help care home providers but it has been made clear in the guidance published today that the CMA will be carrying out a compliance review in a year’s time to assess the level of compliance with consumer law.

Ultimately, care providers whose service user contracts do not comply with consumer law under this new guidance will need to make significant changes or could risk facing substantial fines and enforcement actions from the CMA, Trading Standards, CQC, and directly from service users.

If you haven’t yet taken advice, please contact Royds Withy King who will explain your obligations in light of this guidance and work with you in relation to your procedures and current service user contracts.

Email Royds Withy King on or call 0800 051 8058