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Just 86 additional care home beds were created across the UK in 2024, data shows, as demand continues to outpace supply and add pressure on the struggling social care system.
In its latest healthcare development report, published on Wednesday, property group Knight Frank found that over the past 10 years, the supply of care home beds has risen just 2.9 per cent, while the over-65 population has grown 20.7 per cent.
Meanwhile, the number of new-build care homes completed in 2024 dropped 36 per cent last year compared with 2023, reflecting the wider problems of both material and labour cost inflation.
Longer life expectancy in the UK is increasing demand on the NHS and the struggling social care system.
Campaigners and health leaders are warning that the sector is under massive strain and action is urgently needed to tackle a chronic workforce crisis.
Knight Frank estimates that an additional 350,000 older people may need a care bed by 2050 — almost double current demand.
“The UK elderly care market is at risk of reaching capacity by the end of the decade,” the report concluded. By 2050, it predicted a shortfall of about 200,000 beds. There are currently about 480,000 beds, it said.
Despite the growing demand, a net total of just 86 beds have been created since Knight Frank’s last analysis in 2023, with UK bed supply now averaging 26.7 beds per 100 over 85-year-olds.
Charities and opposition parties have accused the government of delaying tackling the crisis in social care. Ministers have announced a review into the sector, led by veteran Whitehall troubleshooter Baroness Louise Casey, with long-term recommendations not anticipated until 2028.
On Monday, health secretary Wes Streeting said he wanted to ensure more resources were allocated to “social care because it delivers better outcomes for patients and better value for taxpayers”.
Julian Evans, partner and global head of healthcare at Knight Frank, said: “Although building new care homes is critical, upgrading older stock is an equally important consideration at a time when care homes are burdened with a turbulent economic period.
“Demographic trends and the UK’s ageing population make the sector appealing for investors for the potential long term, stable income, but bed space must be fit for purpose to ensure supply meets demand.”
The Department of Health and Social Care said: “This government inherited a social care system in crisis.
“We have taken immediate action to support the sector, including a £3.7bn funding boost, 7,800 new adaptations to help disabled people live independently in their own homes, and we are also introducing the first ever fair pay agreement for care professionals.
“We have also launched an independent commission to build cross-party consensus for a National Care Service that is fair and affordable for all.”
