HEALTH bosses are looking at plans to move Brixham's much-loved St Kilda's care home to a new site at Brixham hospital by 2016.
But Torbay Council says there will be 'no impact for the remaining long-stay patients' as a result of the shake-up.
The trust which owns the care home says it has been looking to move to a new site at Brixham Hospital for the last couple of years.
A £320,000 cut to St Kilda's funding has been proposed as part of Torbay Council's £3.8million budget reductions.
Torbay and Southern Devon Health and Care NHS Trust says discussions are underway with key stakeholders and final proposals about the change in services will be brought forward for decision at the trust board on July 30.
In its budget consultation document, Torbay Council said: "There will be no impact for the remaining long-stay residents at St Kilda's. Some other services may be provided in other ways in the future."
A spokesman for the NHS health and care trust said the move would 'create a more integrated care' which will 'bring together health and care provision around each patient'.
The spokesman said the service would be more effective and more flexible, and they are 'going to look at more effective and efficient ways of providing services in the future'.
She added: "We are hoping the new model will meet these savings we are constrained to and deliver a much more integrated service.
"What we are doing by bringing the residential and intermediate care together in one site, is that we are saving money. We are not cutting, we are developing something new, it's a different approach."
She said plans were already in place to save money before the council's latest cut.
The home hopes to have its new development completed by 2016.