Age Concern says if the West Coast District Health Board shuts its two aged care facilities in Westport, people in Buller will have limited options on residential care.
The Board says the Kynnersley Home and Dunsford Ward, which are both based in Buller Hospital, are under-utilised, with a drop in the demand for rest home level care as more people opt to stay in their own homes.
That would leave only one aged care facility in Westport, the O'Conor Home, which is operated by a charitable trust.
Chief executive of Age Concern Canterbury Simon Templeton said in-home health services do not suit everyone.
"It certainly has been raised that some concern from the community that is does only leave one choice for residential care, being O'Conor Home, and that is a reasonable concern to have."
Mr Templeton said the board should now put more money into community-based services.