MAIL ONLINE: Fears thousands of elderly residents could be at risk if the planned sale of 150 Bupa care homes goes through

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Karel Williams, professor of accounting and political economy at Alliance Manchester Business School, who last year co-authored a critical report on care home owners’ financing, said: ‘This is not a suitable area for people who are covering a substantial part of the cost of purchase with debt.

‘They cannot simply say to shareholders, “Oh, we have had a bad year, we are not paying a dividend”. If they don’t pay the company goes to the bondholders.’

He added: ‘It does not put people on the street but it does put pressure on management.’ Janet Morrison, chief executive of Independent Age, the older people’s charity, said: ‘In a week when we have heard that one in six care homes are showing signs of financial distress, older people and their families need reassurance that high quality, affordable care will be available whenever they need it.’