AN ADDICTION hospital in Peeblesshire has been “significantly impacted” by the coronavirus pandemic.

Castle Craig – a drug and alcohol rehabilitation clinic near West Linton – has been operating since the late 1980s.

The accounts for 2020 show that the company’s turnover was down by more than £2 million compared to the previous 12 months – falling from £9 million in 2019 to £6.8 million last year.

The operating profit was only slightly down on 2019, from £706,792 to £686,022.

According to the hospital’s accounts, patients fall into three main categories – NHS, private and EU zone from insurance companies.

However, an “over-reliance” on Euro-based contracts – identified in the papers as a principal risk and uncertainty – has meant that the facility is now turning to more private patients.

“We are striving to increase revenue from other sources, in particular the private market,” the accounts state.

“Private sales increased by 22 per cent in the period.

“Marketing emphasis has been and will continue to be placed on this sector.”

According to the accounts, the hospital managed to maintain its workforce during the pandemic by furloughing staff.

On the impact of the virus, the accounts state: “The various lockdowns effectively closed the hospital to admissions for long periods and this is reflected in the reduction in turnover and profit.

“The company took advantage of the government support under the furlough scheme to maintain its workforce and also drew down a CBILS loan to ensure that enough funding was available to cover the loss of income.

“The effect of the restrictions carried on into 2021 and it was only in the summer of 2021 that activities and occupancy returned to ‘normal’ levels.

“We are expecting the remainder of 2021 to perform better from a financial perspective but it will be 2022 before trading and profitability is comparable to historic figures.”

The health care facility treats alcoholism, drug abuse and other addictions.

More than 1,300 people died of drug misuse in Scotland last year, with the country seeing a record number of deaths for the seventh year in a row.

The annual figures showed that there were 1,339 drug deaths – an increase of 75 from the 1,264 recorded the previous year.

Scotland continues to have the highest drug death rate recorded by any European country.