The elderly care sector is facing a massive space shortfall, two reports said this week.

The population of over-85s, the group most likely to need nursing or residential care, will grow by 255% from 1.1 million in 2000 to 4 million in 2051, according to a report by the London School of Economics for the Joseph Rowntree Foundation.

But the number of residential care places has dropped by 9600 in the year to April 2004 – 89,000 fewer than its peak in 1996.

Demand for places has also dropped because councils are encouraging people to stay in their own homes, according to a report from consultant Laing & Buisson.

However, although demand is set to triple in future, there is little incentive for businesses to open more homes while the fees paid by local authorities remain low, the report adds.

Source

Housing Today