Families Demand Inquiry into Care Charity's £1.6m Debt and £1m Trustee Payments
Families of vulnerable disabled adults have called for an urgent investigation into a specialist residential care charity that has accumulated £1.6 million in unpaid taxes while paying over £1 million to one of its own trustees through a company she owns.
Imminent Closure Threat
William Blake House, a Northamptonshire-based facility providing Rudolf Steiner-inspired therapeutic care for adults with learning disabilities and autism, faces potential closure after a judge gave it just weeks to settle its substantial HMRC debts or face a winding-up order. The charity's financial viability has been repeatedly questioned by auditors in recent accounts.
Governance Concerns and Payments
The families have raised serious concerns about governance after discovering the charity paid:
- £800,000 in strategy fees to Van Kruger Consulting, a company solely owned by the charity's chair Bushra Hamid
- £240,000 in unspecified consultancy fees to the same company
These payments were authorised by the charity's board while its financial position deteriorated dramatically, with assets plummeting from £920,000 to £200,000 between 2022 and 2024.
Families' Statement and Concerns
In a powerful statement, 17 families representing residents said: "Our relatives are some of the most vulnerable adults in society and entirely dependent on stable, continuous care. As parents we placed our trust in the charity to protect the welfare of our loved ones. This trust has been shattered and serious mismanagement and lack of governance revealed."
The families emphasised they have no criticism of the quality of care provided but fear for their relatives' future wellbeing, describing how they were kept in the dark about mounting debts and declining asset values.
Regulatory Response
The Charity Commission has opened a regulatory compliance case into potential governance concerns at William Blake House. Meanwhile, West Northamptonshire Council confirmed it is in ongoing discussions with the charity about what it called "serious governance and financial issues."
Council cabinet member Laura Couse stated: "It is our absolute priority to ensure the wellbeing of the residents – making sure they are fully supported."
Charity's Response and Plans
William Blake House has blamed its financial challenges on high agency staff costs and previous failures by local authorities to raise contract fees in line with inflation. The charity claims it has resumed regular PAYE payments to HMRC since October 2024 and plans to settle its tax debts by selling land to a developer who would build a new residential care facility and lease it back to the charity.
Regarding the substantial payments to Hamid's company, the charity stated the £800,000 investment in developing a "Steiner strategy" business selling online training courses would be repaid by Steiner Friends, another charity chaired by Hamid. The launch of these courses has been delayed by the HMRC petition.
Broader Context
The situation highlights growing concerns about governance and financial management in the social care sector, particularly affecting vulnerable adults who depend entirely on continuous, stable care arrangements. With councils and the NHS spending approximately £3 million annually on places at William Blake House, the case raises significant questions about oversight and accountability in publicly-funded care provision.