▁contract or ▁contract ▁worth ▁£ 2 7 0 ▁million ▁for ▁providing ▁long - term ▁and ▁elder ly ▁care ▁for ▁about ▁ 3 8 , 0 0 0 ▁people ▁with ▁long ▁term ▁health ▁conditions ▁in ▁East ▁Staff ord shire ▁in ▁March ▁ 2 0 1 5 . ▁ ▁Bur ton ▁H osp it als ▁N HS ▁Foundation ▁Trust , ▁which ▁is ▁sub - cont ract ed ▁to ▁Virgin , ▁had ▁to ▁pay ▁£ 3 0 0 , 0 0 0 ▁in ▁V AT ▁at ▁the ▁end ▁of ▁ 2 0 1 6 - 1 7 ▁because ▁Virgin ▁cannot ▁recover ▁V AT ▁costs ▁as ▁N HS ▁organis ations ▁can . ▁ ▁In ▁October ▁ 2 0 1 8 , ▁after ▁a ▁prolong ed ▁dispute ▁with ▁the ▁C CG , ▁Virgin ▁terminated ▁all ▁the ▁elements ▁of ▁the ▁contract ▁for ▁which ▁it ▁did ▁not ▁itself ▁directly ▁deliver ▁services . ▁The ▁C CG ▁said ▁" From ▁May / J une ▁ 2 0 1 9 ▁East ▁Staff ord shire ▁C CG ▁will ▁enter ▁into ▁contract s ▁for ▁the ▁services ▁terminated ▁by ▁Virgin ▁Care ▁directly ▁with ▁the ▁prov iders ▁of ▁those ▁services ▁instead ▁of ▁requiring ▁Virgin ▁Care ▁to ▁negoti ate ▁sub - cont ract s ▁for ▁them .” ▁ ▁In ▁April ▁ 2 0 1 9 ▁Virgin ▁gave ▁a ▁ 1 2 - month ▁term ination ▁notice ▁on ▁the ▁remaining ▁contract ▁because ▁it ▁would ▁have ▁had ▁to ▁subs id ise ▁the ▁service ▁by ▁more ▁than ▁£ 1 ▁million ▁a ▁year . ▁ ▁Health watch ▁There ▁are ▁two ▁Health watch