Concern over sale of care home

The authority is facing questions over its dealings in respect of Holmfield House, Crook, which closed as part of a shake-up of residential care.

The 18-bedroomed property was sold by council chiefs at auction for £68,000.

It has emerged that the former home has been put up for sale by its new owner, at a price of more than £150,000.

Last night, John Shuttleworth, councillor for Weardale, accused council chiefs of taking short cuts.

He said: "This is a Victorian property, in good condition and in a prominent location, which was sold on the cheap.

"It went for £68,000 and is now on the market for £150,000, which is a great discrepancy."

The Northern Echo understands that the property was sold to a company in Kettering, called Family Housing.

An agent handling its sale said it had received quite a bit of interest in the property, which is being offered as a possible conversion into homes or flats.

Durham County Council closed Holmfield and another residential care home, Millfield House, also in Crook, last year.

It wants to avoid spending the £60m needed to upgrade its stock of care homes to Government standards and plans a new generation of residential care facilities.

It is also facing a multi-million pound shortfall in its budget, with council taxpayers facing an increase of up to 17 per cent.

Frazer Davie, for the council, said Holmfield had been sold at the market price.

He said: "The authority cannot retain vacant properties in the hope that, in time, their value may increase.

"There are significant costs involved to keep them secure and weatherproof and, in our experience, vandalism and deterioration can significantly reduce their value.

"What purchasers choose to do with the property after its sale is entirely a matter for them."

Mr Davie said that money from the sale of the homes could not be used to bolster the council's revenue shortfall and went into the capital receipts budget