NRS Healthcare, which provides wheelchairs and clinical services to the NHS and councils, is expected to go out of business in the coming days.

A Local Government Association (LGA) spokesperson said: ‘Councils are working hard to ensure that residents can continue to access essential equipment, and are exploring all options to maintain services, including alternative providers and local solutions. 

‘The LGA and Association of Directors of Adult Social Services are working closely with councils to support them in navigating these complex challenges. 

‘We recognise how critical community equipment and technology enabled care is for people leaving hospital or maintaining their independence at home, and we are committed to ensuring that services remain as reliable as possible, especially to those people with the highest levels of need, during this period of uncertainty.'

NRS provides around 40% of healthcare equipment to the community in England with many services focused in South East England.

The Government said it was working with the Insolvency Service to mitigate impact on service users, adding local authorities had a duty to intervene and ensure continuity of care if the situation escalates.

A Government spokesperson said: ‘We are closely monitoring this situation and are working with a range of partners who are supporting local authorities to minimise any potential disruption, find alternative suppliers if needed and ensure patients continue to receive high-quality care.'