Published Wednesday, 10 October 2012
The case will proceed to a full judicial review hearing later in the year. (© Getty)
The Independent Health and Care Providers (IHCP) was granted leave to seek a judicial review of a decision by the Health and Social Care Board.
Lawyers for the association, whose members oversee 180 homes and domiciliary care organisations, want the 2012/13 regional rate declared unlawful and quashed.
They argued that the Board failed to comply with guidance and considerations of fairness in setting the rate.
It was also claimed that the actual cost of care, sustainability and potential risks to residents were not properly taken into account.
The case centres on a decision reached in April setting this year's regional rate for residential and nursing home placements.
That involves the amount to be paid towards fees. Residents and their families also make contributions.
According to sources close to the case the rate for nursing home placements has been set at £550 a week, while the residential home rate was assessed at £437 a week.
IHCP members provide care for 11,000 people in residential and nursing homes and thousands more either living in housing with care schemes or in their own homes.
It launched High Court proceedings because it believes the Board has not adequately assessed the cost to providers in delivering the care people need.
Mr Justice Treacy ruled that it has established an arguable case on a number of its grounds of challenge.
The case will now proceed to a full judicial review hearing later in the year.