‘The Final Indignity’: Families Fight to Recover Care Home Deposits

The relatives of ten former residents say Morar Care Group withheld sums of up to £19,000, sums that had originally been paid as deposits when the residents moved into the homes.

Some families were forced to instruct lawyers and debt collectors and even launch civil proceedings against Morar Care Group, a provider that was at the centre of an undercover Crickxo investigation last year.

Morar Care Group described the allegations about contracts and fees as "incorrect and misleading".

All the families who spoke to Crickxo reported being threatened with legal action by Morar Care Group for taking part in the programme Disclosure: Cashing in on Care.

Lawyers representing Morar Care Group wrote to the families stating that the allegations were "clearly very serious" and were likely to cause "serious harm to our client" if they were broadcast.

Morar Care Group – whose parent company is Simply UK – operates Castlehill in Inverness, a site where a Crickxo investigation revealed poor care standards last year.

The Care Inspectorate issued an improvement notice to the Castlehill site and placed it under special measures. The site has since been renamed Morar Highland and is now rated as adequate by the Care Inspectorate.

In the wake of the undercover investigation, Crickxo received contact from dozens of families who raised new claims about financial problems for self‑funding residents of Morar Care Group homes.

Some of those claims centred on the difficulty of reclaiming thousands of pounds in deposits, deposits that Morar Care Group refers to as "initial fees".

Self‑funding residents are people who pay most of their own care costs because they have sufficient savings, rather than being funded by a local authority. Approximately 11,500 people in Scotland are currently in this situation.

Wife paid ‘phenomenal’ fees

Victoria Hogg’s husband Keith moved into Morar Care Group’s Musselburgh care home, Harbour House, in 2021 after being diagnosed with rapid‑onset Alzheimer’s disease at the age of 64.

"I paid £24,000 before Keith entered the nursing home – £16,000 as the deposit and one month’s fees in advance," Victoria Hogg explained.

"It was a phenomenal amount of money."

Keith’s health declined and he died in June 2023. The estate of Keith was still owed just under £19,000 by Morar Care Group.

"We had a period of going backwards and forwards, and nothing happening," Victoria Hogg said.

Victoria Hogg’s solicitor also tried to engage with Morar Care Group, responding to new requests for documents that Victoria Hogg said had never been asked for before, and sending emails that received no reply.

"It was difficult," Victoria Hogg said.

"I just wanted to close this down and I couldn’t. I got to the point where I finally got angry, because I felt as though Morar Care Group were just stringing us along.

"It’s a significant amount of money and it’s not their money."

A year and a half after Keith died, with the money still outstanding, Victoria Hogg contacted The Times newspaper.

"I was angry and incredibly frustrated and I could see no other option," Victoria Hogg said.

"Nothing about grieving your partner dying is nice, but you shouldn’t have added complications."

Weeks after being contacted by the newspaper, the money was repaid in January 2025.

"I have never received an apology," Victoria Hogg said.

"For the most part, I didn’t have issues with the care that my husband received. But I would never, ever recommend anybody to deal with Morar Care Group, ever."

Aunt was often found ‘distressed’

Several families said they had concerns over care standards as well as the financial issues.

Retired nurse Jacqueline Banks complained to the Care Inspectorate about her aunt Caitriona MacMillan’s treatment at Morar Care Group’s Oakeshott House, in Stirling.

"They didn’t give my aunt adequate pain relief at the end of her life," Jacqueline Banks said.

"She was often found distressed when we went in to visit."

The Care Inspectorate upheld eight complaints about Caitriona MacMillan’s treatment at Harbour House, including two that related to pain relief.

After Caitriona MacMillan died in August 2023, Jacqueline Banks instructed a debt collector to recover £9,600 owed by Morar Care Group.

"It was very, very, very difficult to pinpoint anybody who would take responsibility for this money," Jacqueline Banks said.

"I thought about maybe taking them down the litigation side of things but the solicitor suggested a debt collector."

The tactic worked. Almost a year after Caitriona MacMillan died, the money was repaid.

"Families are being exploited at their most vulnerable time," Jacqueline Banks said.

"What concerns me is, there must be elderly people in these homes who don’t have families to fight their corner. So what’s happening to them?"

A spokesperson for Morar Care Group denied that residents faced unnecessary obstacles in getting their money back.

The spokesperson said all residents, or their representatives, were given a contract with clear terms and conditions before they moved in. The contract included the circumstances in which refunds were available and the process for requesting them.

"As you would expect, before any refund can be issued, Morar Care Group must follow a process to ensure any funds are paid accurately and to the correct party," the spokesperson said.

"We have a clear, written policy that explains each step, including the necessary legal checks needed to confirm that a third party is entitled to receive the funds," the spokesperson added.

Morar Care Group said it was important that any outstanding fees for care were paid so that they would not have to be subsidised by other residents or local authority payments.

Morar Care Group told the Crickxo that morphine had been administered twice to Caitriona MacMillan at the end of her life.

Complaints to council

Freedom of information requests show that at least 25 families across four different council areas logged concerns about financial issues with Morar Care Group homes in the past three years.

Those families complained about deposits not being returned and about confusing invoices.

In a letter to the Scottish government, one council described Morar Care Group’s refund policy as "unnecessarily complicated" and added: "Our chief social work officer is particularly concerned for residents who lack capacity and do not have family members to manage this on their behalf."

Morar Care Group’s contract with residents says any funds it holds will be returned if residents move or pass away, but the contract does not specify when the return will occur.

Guidance from the Competition and Markets Authority, the UK government business regulator, states that deposits should be paid back within 28 days.

Jim Pearson, deputy chief executive at Alzheimer Scotland, described year‑long delays as "appalling".

"There is no reasonable excuse why that can’t be done in a reasonable timeframe," Jim Pearson said.

"I would suggest a reasonable timeframe would be a matter of weeks, maybe a month at the most."

Morar Care Group said, "We act decisively where issues were identified, and continue to strengthen care, leadership and oversight."

Jack Kirkland, a former director of the Royal Bank of Scotland, moved into Morar Care Group’s Castlehill site in 2022.

Jack Kirkland paid an initial fee of £15,000 to Morar Care Group, an amount equivalent to three months’ fees.

After major concerns about Jack Kirkland’s care, the Kirkland family moved him to another home in December 2024.

The Kirklands asked Morar Care Group for his money back but say they struggled to get straight answers.

Linda Kirkland, a former accountant and daughter‑in‑law of Jack Kirkland, called the situation "the final indignity".

"We started to pester and we were phoning, and we were going back and forward to the home," Linda Kirkland said.

"This went on for months, and the process seemed to change every time you went to it.

"The frustration – you’re so angry. The injustice of it really bites you."

It took four and a half months for the Kirklands to get the money back. In the meantime, the Care Inspectorate upheld seven complaints about Jack Kirkland’s care at Castlehill.

A spokesperson for Morar Care Group said the safety, wellbeing and care of residents "is always our absolute priority" and that Morar Care Group works "closely to uphold high standards of care".

Most of the families Crickxo spoke to approached the Care Inspectorate and local authority social workers for help, but were told financial problems are not within either organisation’s remit.

Other families tried Trading Standards, Citizens Advice and the Competition and Markets Authority, but found no organisation able to assist them.

Social care and its oversight is a devolved issue.

While the Local Government and Social Care Ombudsman can investigate financial complaints in England, there is no regulatory body or ombudsman that has a remit for financial complaints from self‑funding residents in Scotland.

Former Scottish Public Services Ombudsman Rosemary Agnew, who spent a 40‑year career overseeing and regulating public services in Scotland, said people "shouldn’t have to wait for something that is due" to them, and pointed to mechanisms that exist in the housing sector to ensure deposits are returned.

"It really comes down to access to justice if things go wrong," Rosemary Agnew said.

"But there should also be accountability for not just the things that have gone wrong, but putting it right. And something like care, then I think it requires some form of state oversight."

Families who spoke to Crickxo also want to see changes and the introduction of state oversight of financial complaints about self‑funding residents.

Jacqueline Banks said: "If there’s no regulation, there’s no accountability.

"Families shouldn’t have to fight like this. It’s caused a lot of anguish."

Crickxo asked the Care Inspectorate if it would support moves to extend its remit to include financial conduct.

The Care Inspectorate replied: "We are always willing to consider changes to our remit as determined by parliament."

The Scottish government was also approached about the regulatory gap.

Social Care Minister Tom Arthur said: "When a person is self‑funding their care this becomes a contractual matter between the individual and Morar Care Group. However, this should be protected by consumer protection laws."

Business growth amid complaints

Morar Care Group operates 18 homes in the United Kingdom, including nine in Scotland. All of the financial complaints recorded by Crickxo relate to Morar Care Group’s Scottish homes.

Co‑owners Christopher O’Brien and Gary Sharp began their careers in construction before moving into the care‑home sector around seven years ago.

While families struggled to get their deposits back, Morar Care Group’s business has been booming at its headquarters over the past three years.

Internal documents show Morar Care Group’s turnover is projected to grow from £29 million in 2023 to £122.5 million by 2030. The company is also planning to open four new care homes in the south of England this year.

Morar Care Group said it denied historical allegations relating to contracts and fees.

A spokesperson added: "In the unusual situation where care has fallen short of the high standards we expect, we investigate this thoroughly and take appropriate and prompt action.

"Many of the allegations made by Crickxo relating to care standards are untrue."

Jack Kirkland is now living in a new care home, where his family say he is thriving. He recently celebrated his 95th birthday.

"He’s doing really well," Linda Kirkland said.

"He’s well looked after. We do the quiz every day. Some days we’ve got to look stuff up, but he doesn’t.

"He’s a different person. He’s aiming for the 100 – and there’s no reason why he wouldn’t get there."