A LAST-DITCH bid to save a York sheltered housing unit from closure failed last night as councillors moved to ease the city's bed-blocking crisis.

The first executive meeting of the new Liberal Democrat-controlled city council left 19 residents of Clarendon Court looking for a new home.

The sheltered housing unit, in The Groves, is now set to be transformed into an intermediate care centre to look after patients ready for discharge from York Hospital.

The centre will be leased to the Selby and York Primary Care Trust on a "peppercorn" rent, with the £1.4m needed for the conversion already secured.

The centre is central to the city council's plans to end bed-blocking and was first mentioned when Labour controlled the council.

Patients who would stay at the centre cannot be placed straight into sheltered housing from hospital as they need specialised care.

The council is to help the current residents find alternative accommodation. Council leader Steve Galloway told the executive the decision was a difficult one, but was taken with the people currently stuck in hospital beds in mind.

He said: "The council has to speak up for those people. They would rather be in the community, the hospital would rather have the beds for medical use.

"It is for that reason we have no choice but to accept the recommendation."

Peggy Griffiths, a friend of one of the Clarendon Court residents, made a heartfelt plea to the executive to keep the unit open.

She was speaking on behalf of the 19 people who will be affected, and presented councillors with a petition signed by all 19.

Mrs Griffiths, a former psychiatric nurse, said: "Surely money would be better spent providing a purpose-built environment where people needing intermediate care can receive it.

"My friend is the happiest she has ever been in her life. I must ask the council to reject these plans."

After Mrs Griffiths had spoken, Sue Galloway, the council's executive member for social services, said the £1.4m available was not enough to build a new intermediate care centre.

Mark Hill, one of two Green councillors recently elected in Fishergate Ward, also spoke against the proposals.

He questioned where money had gone from the sale of the Clifton, Naburn and City hospitals.

He also questioned why the local council taxpayer should "subsidise" the NHS, through the peppercorn rent, when the NHS had received major Government funding increases.

Bill Hodson, the council's senior assistant director for strategic services, replied: "The hospitals were sold some time ago and are not central to this issue."

Coun Steve Galloway said all Clarendon Court residents would be offered help to find a new home.

Updated: 10:36 Wednesday, June 04, 2003