Plymouth City Council will create its own care company after a number of providers warned they could not provide services at short notice.
The council said the move would ensure care could be provided to the most vulnerable if a care company was unable to continue providing services.
Cabinet member for health and adult social care, Cllr Kate Taylor, said: ‘We've had some really concerning cases where vulnerable people have had their care service stop at short notice, and it can be really stressful for them, their families and the staff involved while alternatives are worked out.
‘Having our own company gives us the option to move swiftly to step in and ensure everyone continues to enjoy high quality care and be looked after in the manner they deserve.'
The council is aiming to launch the new company by June.