Elderly Care Crisis - A Tipping Point

We worked with the Centre for Economics and Business Research (Cebr) to research the future of elderly care in the UK over the next 10 years. We found that we're heading towards a 'tipping point' in 2029, when underfunding and a lack of capacity could culminate in an unmanageable crisis for the sector.

Download the full report to learn about the economic, political and demographic trends informing our research and read our experts' reactions and recommendations.

Key findings

Britain has a retirement savings gap

We estimate that the average worker should save £575 more per month to be able to fund their retirement.

The country is living longer and getting older

Demographic changes and rising life expectancies mean that more people will need elderly care in the future, and need it for longer.

£3.5 billion government funding shortfall

Government funding isn't rising in line with demand for retirement care. The Local Government Association estimated that adult social care services would face £3.5 billion funding gap by 2024/25.

The power of downsizing

People aged 65 and over could release £1.2 trillion in equity by moving out of homes with two or more spare bedrooms - that's money that could go towards care costs.

Lack of local council planning

45% of councils haven’t planned for where elderly people in their communities will live and receive care in the future.

Increasing costs

Nursing home costs will increase almost 18% over the next ten years, bringing the average annual cost to £54,375.

Capacity shortage

Current nursing and care home capacity is around 460,000 beds. If we don’t increase this capacity, it’ll run out by 2029.

Friends and family

4% of all UK adults have helped an elderly friend or family member pay for care as fewer people can cover the costs themselves or access government funding.

Funding freeze

The threshold for free local authority case has been frozen since 2011, meaning it's actually gone down in real terms and more people have missed out on funding.

The tipping point

If the government doesn't step in before the late 2020s, many elderly people won't get the level of care they need.