MORE than 20 vulnerable elderly people face a fraught Christmas after a cash-strapped York nursing home confirmed it must close within weeks.

Tony Tait, of Laurens Manor, today said the Lawrence Street home will have to shut on December 18.

He blamed a long-running cash crisis and lack of council help for the "heartbreaking" decision.

Laurens Manor's money woes were triggered by rising insurance costs and safety red tape, which, Mr Tait claimed, were not matched by rising council fees. But City of York Council has defended its handling of the situation. Jim Crook, the council's director of community services, said the authority's rates were among the region's best. He said the council could not be blamed if Mr Tait succumbed to "temptation" and sold to developers.

Under plans strongly opposed by local residents, Mr Tait submitted a blueprint to replace the Victorian care building with 24 luxury flats. Mr Tait said the council was aware he could have sold to developers years ago.

In a letter telling residents' families of the closure, Mr Tait said: "We know the closure will cause distress and anxiety for the residents, yourself and staff.

"This is why this has been one of the hardest decisions we have had to make.

"We are sorry it has come to this - we're now just another statistic."

He said the business was no longer financially viable - and insisted closure was not connected to the development plans, which have still to get the nod from the council.

Mr Tait said: "The council has treated this situation with complete and utter contempt. It's shown no consideration to the distress and anxiety residents, their relatives and staff will be subjected to when our home closes."

Alzheimer's sufferer Freda Watts, 82, formerly of The Groves, York, is among 23 frail old people at Laurens Manor, which opened in 1989.

Her family are now frantically searching for another York care home to take her.

Freda's daughter, Christine Metcalfe, 54, of Osbaldwick, was overjoyed when Laurens Manor agreed to take her mother in March.

"She went down by about three stone when she was in hospital beforehand. I hated seeing her in that place but I couldn't get her out. Now we are back where we started. I don't know what I am going to do."

John Pearson's mother Gertrude recently celebrated her 100th birthday in the home she went to two years ago after breaking her hip in a fall.

Mr Pearson, of Wetherby, said: "It's a real shame it's all come to this."

Updated: 10:27 Monday, November 24, 2003