Introduction

1.2    Section 48 of The Care Act (2014) imposes a temporary duty on local authorities to meet needs in the event that a regulated provider becomes unable to provide a regulated activity to an individual due to a business failure. This duty applies regardless of whether the individuals care is funded by the local authority or not. This temporary duty is invoked where the following criteria are met:

• The provider must be a registered care provider
  
  
• The provider must be unable to carry out the particular activity. Where the provider is able to continue the activity despite business failure the duty will not be triggered
  
  
• The activity that the provider is unable to carry out must be a regulated activity
  
  
• The inability to carry out the activity must be due to the provider’s business failure

1.3    The duty applies as soon as the council becomes aware of business failure and applies to both the adult with eligible care needs and their carers.