Elderly residents at a Helston nursing home are being forced to move out after it was confirmed the home faces almost certain closure.

Nearly 30 residents at Penhellis Nursing Home were told on Friday they could no longer remain at the home - a decision taken by the county council because of financial difficulties surrounding the limited company that owns the premises.

The 40 staff currently working at the historic Cross Street home also face an uncertain future.

Six months ago it was suggested the home might have to close, but Penhellis manager Wendy Doel said yesterday the news had nonetheless come as a shock.

"I never thought it would come to this," she said. "I am just so upset for the residents, the families and the staff. A lot of the residents don't really know what is going on, but two of them burst into tears on Friday.

"Statistics show one in four die after being moved somewhere else. I feel as though I'm condemning seven people to die and there's nothing I can do about it. It's just awful."

Residents are likely to start moving out as early as next week and, unless a buyer can be found, the home will then close. Wendy stressed that the closure had nothing to do with the quality of care provided at the home, which, she said, "has been and remains excellent".

She also paid tribute to her staff, who had remained loyal despite not being paid for a week when the home owner's bank account was frozen. "They have been absolutely brilliant," she said. "I was expecting mass walkouts or increased sickness but nobody jumped ship. We are all going to see it through to the end - until the last resident has gone out the front door.

"I feel as though I should be doing more but what more can I possibly do? It is grabbing at straws but while there is a small chance a buyer could be found then I am still hoping someone may step in to save us. If not, the home will close."

Wendy, who has been the manager for the past two years, said the home might even close before Flora Day - raising a question over whether the dancers would be able to pass through Penhellis as normal.

One of the residents affected - 86-year-old Joan Truscott - led the midday dance several decades ago. A photograph of her leading the dancers through the grounds at Penhellis hangs in the home's entrance hall.

The regulation authority, the Commission for Social Care Inspection (CSCI), warned the home's owners - Premium Care Homes - it proposed cancelling the home's registration last October.

An appeal against that decision is being heard this week by the Care Standards Tribunal.

Meanwhile, the owners are also facing an insolvency hearing, due to take place next week.

In a statement issued yesterday, the county council said: "As a result of the financial difficulties being experienced by Premium Care Homes Ltd, the Department of Adult Social Care considers that the company is unable to guarantee it can fulfil the terms and conditions of its contract with the county council and, therefore, is unable to guarantee that the Penhellis Care Home can provide the required standards of care for its residents.

"A letter outlining the situation and offering the support of the department was hand-delivered to residents and carers on Friday. The department is making arrangements for the residents it funds to transfer to alternative care homes which are able to meet their needs.

"All residents and carers will be fully involved and consulted during the process and the department will be sustaining the home until the residents it funds have been found alternative appropriate accommodation.

"The department appreciates that this news will have come as a shock and will be providing support and help to everyone involved."

The CSCI confirmed the appeal in relation to cancelling the home's registration was due to be heard this week. Spokeswoman Sharon Ward added that the commission was working closely with the county council "to ensure the safety and wellbeing of the residents".