PLANS to close homes for the elderly in the Durham area have been changed.

Durham County Council had proposed to replace 17 of its 25 homes with six units and four for the mentally ill, resulting in 350 job losses.

But a new proposal would keep an extra home open and would provide more beds for the mentally ill.

The council drew up the proposals because it wants more people to live in their own homes for longer, and it wants to avoid having to spend up to £60m to upgrade its care homes to new Government standards.

Next Tuesday, the council's executive committee will be recommended to approve the new proposals, which follow consultations with elderly people, their relatives, staff, unions and health authorities.

The new two-stage plan would mean 290 job losses.

The first stage of the scheme would involve the replacement of 12 homes with seven care units by March 2004, and vulnerable people being housed in sheltered accommodation.

The second phase would include four new units for the mentally ill, the closure of four homes and a programme to support people in the community.

Council leader Ken Manton said: "This was never going to be easy. But I believe what we have now will still allow us to modernise and improve our services for older people so that we have a model for the rest of the country to follow. The changes show we have been listening to what people have had to say."

But John Shuttleworth, Independent councillor for Weardale, warned that the demand for residential care was likely to increase.

"It may be the way forward for some people, but it is not right for everybody. There should be provision for those who need it," he said.