Around 1,000 elderly residents would have been affected

Around 1,000 care home residents would have been affected by the closure of more than 30 homes over the next five years.

Lawyers representing 30 residents had challenged the council's plans, calling them a violation of fundamental human rights.

Relying on expert evidence, they argued that moving frail and vulnerable residents from the homes would have threatened their health, and even their lives.

But what had been expected to be a five-day High Court challenge by the residents ended on Tuesday in an agreement sanctioned by Mr Justice Sullivan, who congratulated all sides on their good sense.

The intention is that all residents will ultimately be moved to a new or refurbished home, meeting the latest national standards, within a period of five years Lancashire County Council

In a new policy statement, the council agreed to carry out "systematic individual assessments" of all residents' needs - including the need to maintain family and other social contacts - before moving them.

The council also pledged that, "wherever practicable", residents would remain in homes in the same locality in which they currently reside and that "they will not be moved more than twice".

"The intention is that all residents will ultimately be moved to a new or refurbished home, meeting the latest national standards, within a period of five years," the council said.

In cases where there was shown to be a "significant or imminent risk" to the health of one or more residents at a home, the council will scrutinise the timing of transfers and consider postponing closure of the home until such risks have been managed or minimised.

Geriatric psychiatry expert

The council is also to ask a world-renowned expert on geriatric psychiatry to be fully involved in the assessment process.

If he is willing to accept the role, Dr David Jolley - who was to have given evidence during the case - will also receive regular progress reports.

The council also agreed the reduced number of residential care homes being operated by the council "will not be a factor" in the assessment of individual cases.

The council's policy statement removed the need for a ruling on what would have been a landmark case, concerning the impact of moving care home residents from their familiar surroundings.