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Irish Mirror
Irish Mirror
National
Louise Burne

Nursing home fees: Everything you need to know about latest government controversy

There is a significant political controversy growing around nursing home residents who may have been "illegally charged" for care.

The story, exposed in the Irish Mail on Sunday, alleges that the Government developed a legal strategy so that it would not have to reimburse nursing home residents and their families in instances where they may not have had to pay fees.

While the story is complex, it has rocked the coalition with Taoiseach Leo Varadkar and a range of other senior ministers expected to answer questions about what they did or did not know.

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What is this scandal about?

Under laws passed in 1970, older people who were eligible for medical cards were entitled to a space in a nursing home free of charge.

However, some of these people were placed in private nursing homes as there were no spaces available in public facilities.

They were charged for their care. Charging for care became legal in 2005.

Charging for care became legal in 2005 (Getty)

What has been alleged?

It is suggested that documents provided to The Mail by Department of Health whistleblower Shane Corr show that the Government undertook a legal strategy so that it did not have to fully refund those affected.

It has been alleged that the State accepted that it would not be able to cover the full cost of the refunds, which are estimated to be in the region of €12 billion. Instead, the Department of Health would settle cases out of court and cover between 40 per cent and 60 per cent of the claim.

The strategy saw the State resisting claims until the latest possible opportunity. This means that only those who had the finances to persist with a legal case would be able to get refunds. It also meant that they never got a full refund.

Who is involved?

As the scandal spans several decades, a range of characters are involved. This includes politicians from across Fine Gael, Fianna Fáil, Labour and the now-defunct Progressive Democrats.

The Mail reported that the strategy was outlined in a confidential document prepared by the Department of Health in 2011. It is suggested that the document was given to then-Taoiseach Enda Kenny, former Tánaiste Eamon Gilmore, then-Health Minister James Reilly, Finance Minister Michael Noonan and Labour’s Public Expenditure Minister Brendan Howlin.

It is claimed that it was later reaffirmed to Leo Varadkar in 2016, as well as Helen McEntee and Simon Harris in 2017 when they were ministers in the Department of Health.

It has been suggested on Tuesday evening that Mr Varadkar had "signed off" on the strategy when he was Health Minister. It was reported that a 2016 memo for the assistant secretary in the Department of Health in 2016 said that "the minister" had agreed to continue the strategy.

However, a spokesperson for the Department of Health denied that this related to the Taoiseach.

"It is the clear understanding of officials in the Department of Health that the reference in an internal briefing in May 2016 does not refer to Minister Varadkar, as was, but refers to a previous Minister as the decision referred to was made well before his time."

What are those involved saying?

On Monday, the Taoiseach appeared on Newstalk and stated that he was "never party to devising or agreeing a legal strategy in relation to nursing home charges".

However, it was claimed on Tuesday that Mr Varadkar "signed off on the strategy" in 2016 when he was Health Minister.

A spokesman for the Taoiseach told The Mirror: "The legal strategy pre-dated July 2011 and was pursued by successive governments. It has been misrepresented.

"The strategy was to defend the cases relating to private nursing homes on several grounds, in particular that medical card holders did not have an unqualified entitlement to free private nursing home care.

"A limited number of individual cases were settled where there were complicating factors."

A spokeswoman for Simon Harris, meanwhile, said that he does "not have access to the documents" but is engaging with the Department of Health. Minister McEntee is currently on maternity leave.

What happens next?

Health Minister Stephen Donnelly has contacted the Attorney General asking him to look into the matter.

The matter will be discussed in the Dáil next week, and the Oireachtas Health Committee, as well as the Dáil’s spending watchdog the Public Accounts Committee, may also look into the matter.

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