Connect with us

Investments

Further Care Home Investment Could Be Needed As Closures Feared

Further Care Home Investment Could Be Needed As Closures Feared

The UK may need a raft of new care homes in the next few years, after it was revealed that some may close in the aftermath of the Autumn Statement.

A stream of investment in new purpose built private care homes may be needed in the UK in the coming years, after the chancellor’s Autumn Statement this week raised fears that there may be closures in this sector across the UK.

Care-home owners including Four Seasons, HC-One, Bupa UK, Barchester, Care UK and had all appealed to the chancellor this year for more funding, telling him in writing that without funding, the industry would struggle in the public sector.

However, George Osborne failed to listen to these warnings, and in Wednesday’s (November 25th) Spending Review, the chancellor did not offer any extra funding to the care homes sector, leading to fears that many could close because of funding issues in the next few years.

Further Care Home Investment Could Be Needed As Closures Feared

In their pleas, care home operators had told the government they would need some £3 billion of funding in order to make sure they could help keep the quality of care for older people at a high standard. They were, however, given just £500 million.

And although the chancellor said local authorities will have the chance to increase council tax to aid their spending on such services, many fear that care homes will not be top of the agenda when it comes to spending for councils, with roads, schools and general maintenance likely to take precedence.

Martin Green, chief executive of Care England, said: “As a result of this, we will see care homes closing and greater pressure on the NHS,” he said. “The comprehensive Spending Review was a missed opportunity to establish a long-term and sustainable future for social care.”

What this will mean is there could potentially be a gap in the market for private investors to exploit. With traditional care homes closing down, the demand for high-quality, modern, well-maintained and managed, care facilities that give older people the chance to enjoy an independent and social way of life is likely to continue to rise.

This market has already started to grow from its rather niche position in recent years and any large-scale closure of care homes across the country would only see their positive virtues become even more prominent, bringing in new investors.

London-based property company, Experience Invest has sold a number of care home investments to individual investors. A spokesperson from the company commented:

The shift in focus towards the care home sector is one which we expect will help push care home investments into the mainstream. Over the years we have found that many individual investors are not aware that they can invest in rooms within a care home and receive a stable return from the sector. Due to the specialist nature of the industry, many people don’t realise that investing in this sector can be as simple as investing in more traditional asset class.”

Continue Reading

Recent Posts

4 Reasons to Replace Your Car's Engine With Performance Parts 4 Reasons to Replace Your Car's Engine With Performance Parts
Autos1 day ago

4 Reasons to Replace Your Car’s Engine With Performance Parts

Performance parts are the best kind of upgrades you can make to a car. Performance cars have a higher price...

Maximum Power: Update Your Old House For Modern Electrical Needs Maximum Power: Update Your Old House For Modern Electrical Needs
Home Improvement5 days ago

Maximum Power: Update Your Old House For Modern Electrical Needs

An outdated electrical system can wreak havoc on your energy bills and greatly increase your risk of structural damage. If...

Key Techniques To Learn On A First Aid Course Key Techniques To Learn On A First Aid Course
Health2 weeks ago

Key Techniques To Learn On A First Aid Course

Introduction First aid training is an incredible qualification that can enable one to offer life saving assistance in an emergency....

Best Tips For Managing Your Building and Construction Projects Best Tips For Managing Your Building and Construction Projects
General3 weeks ago

Best Tips For Managing Your Building and Construction Projects

Building and construction projects consist of many tasks, from job-site duties to office paperwork. Juggling it all can oftentimes be...

How To Choose The Best Locksmith For The Job How To Choose The Best Locksmith For The Job
Home Improvement3 weeks ago

How To Choose The Best Locksmith For The Job

The existence of a locksmith is very crucial for society because they help out countless people on a daily basis....

5 Modern Conservatory Ideas To Create A Serene Escape 5 Modern Conservatory Ideas To Create A Serene Escape
General1 month ago

5 Modern Conservatory Ideas To Create A Serene Escape

Having a serene and relaxing conservatory is the dream, especially in the summer months. Creating an extension of your home...

4 Different Types Of Lifting Equipment For A Construction Site 4 Different Types Of Lifting Equipment For A Construction Site
Business1 month ago

4 Different Types Of Lifting Equipment For A Construction Site

One of the biggest challenges on a construction site is the problem of lifting heavy materials and tools to a...

5 Tips That Can Help Your Business Flourish 5 Tips That Can Help Your Business Flourish
Business1 month ago

5 Tips That Can Help Your Business Flourish

Many, both small and big, businesses were affected by the outbreak of the novel coronavirus, no one was spared. Overnight,...

Why First Aid Training Is Essential For Your Business Why First Aid Training Is Essential For Your Business
Education1 month ago

Why First Aid Training Is Essential For Your Business

Introduction All employers, depending on the establishment, should organize and provide basic appropriate conditions for lunch breaks as well as...

Are You Covered? Tips For Finding Affordable Health Insurance For Your Whole Family Are You Covered? Tips For Finding Affordable Health Insurance For Your Whole Family
Lifestyle1 month ago

Are You Covered? Tips For Finding Affordable Health Insurance For Your Whole Family

If you are in the market for health insurance, you may be overwhelmed by the many different features and the...

How to Prevent Potential Hazards In A Lab How to Prevent Potential Hazards In A Lab
General1 month ago

How to Prevent Potential Hazards In A Lab

Unfortunately, lab accidents can happen. When they do, the consequences can be very serious. Some of the most common lab...

How to Extend Your UK Spouse Visa How to Extend Your UK Spouse Visa
Travel2 months ago

How to Extend Your UK Spouse Visa

The UK spouse visa is also known as a UK marriage visa. The UK spouse visa allows married partners of...

How Best Is Automation Helping The Retail Industry to Survive? How Best Is Automation Helping The Retail Industry to Survive?
Business2 months ago

How Best Is Automation Helping The Retail Industry to Survive?

“In the post Covid-19 world, the only place cos are willing to invest is in automation. The return on investment...

Best Artificial Intelligence Trends to Watch Out In 2021 Best Artificial Intelligence Trends to Watch Out In 2021
Tech2 months ago

Best Artificial Intelligence Trends to Watch Out In 2021

Technologies are getting advanced day by day, and according to that, the developers and the mobile app development companies should...

Keeping Your Assets Safe — Crypto Insurance May Soon Become The Norm Keeping Your Assets Safe — Crypto Insurance May Soon Become The Norm
Markets & Finance2 months ago

Keeping Your Assets Safe — Crypto Insurance May Soon Become The Norm

Many people all over the world have compared the cryptocurrency market to the wild West, largely because of the fact...

Categories

Archives

Trending