News
Larger capacity care homes on up as needs and costs rise
Larger, purpose-built care homes for older people were the largest growing type of provision last year, with 60-79 bed facilities up by 3.6 per cent, according to a report. Data collected by
carehome.co.uk showed
that the number of smaller homes with 20 beds or fewer fell by around six per cent in the 12 months to December 2025. The average care home now provides 47
beds, and purpose-built homes now make up well over half (57 per cent) of provision, reflecting a ‘shift towards modern, accessible environments designed to accommodate increasingly complex care needs’, theCaring Britain – How the care home landscape is changing report said. Costs jumped by ten per cent for self-
funders during the same period, revealing the impact of rising wage costs, energy prices and ‘broader inflationary pressures’, according to the report, which revealed disparities in fees depending on region, ranging from 7.8 per cent in the East of England to 11.3 per cent in the North West. The report – which is based oncarehome.
co.uk information and reviews for all 10,500 care homes for older people in the UK – also highlighted ‘uneven’ access to specialist services, particularly for people living with dementia. While many homes are equipped to
support residents in the early stages of the disease, far fewer are set up to meet higher- level dementia needs, with more than half
(57 per cent) of London homes offering such support compared to just a third in Wales (33 per cent) and the North West (34 per cent), the report said. The findings come after the government
said it would appoint a “strong” dementia leader to “drive forward action” on care for people with the disease following an urgent call for a ‘tsar’ by the social care independent commission chair Baroness Louise Casey.
Regional ratings’ divide The report also showed regional ‘variations and gaps’ in Care Quality Commission (CQC) ratings. It showed that, while just under seven in
ten homes in England are rated as ‘Good’ or ‘Outstanding by the CQC, this rises to 80 per cent for London and the North East, while just under two thirds (63 per cent) hit the same standards in the West Midlands, while two thirds (66 per cent) did in Yorkshire and the East of England.
Luxury south east providers claim new electric-only homes are most sustainable yet
Two south east mid-sized luxury care home groups have unveiled new homes which they say are their greenest yet, relying on renewable powered electricity rather than gas to fuel the new facilities. Boutique Care Homes’ 58 bed new build
in Maidenhead, Berkshire– which is about to start construction and is scheduled to open in around two years’ time – will be its first fully electric home, powered in part by rooftop solar panels, the group said. Meanwhile Oakland Care announced
its newly opened 75-bedroom home in Harpenden, Hertfordshire (pictured) will be its first to be fully renewable electricity
powered, with 125 solar panels generating power and heating provided via ‘air source’ heat pump powered underfloor heating. The company said it aims to be fully
energy self-sufficient but will source any additional electricity needed from green providers. The vast majority of care home providers
see sustainability as as important to their strategy or values (92 per cent), but more than four in ten (44 per cent) said they need more external support and guidance in their ‘green’ efforts, according to joint research by food supplier apetito and Care England. apetito said it has created a free guide in
10
www.thecarehomeenvironment.com April 2026
Call to exempt care homes from mansion tax
Care homes must be made exempt from the proposed new high value council ‘mansion tax’, which will charge a higher rate to residential owners of properties worth £2m or more, ministers have been told. In a letter sent to the Housing, Community and Local Government secretary Steve Reed, Care England chief Professor Martin Green warned that care homes and other adult social care settings do not fit the category the new levy aims to tax as they deliver statutory care and support for – and often funded by – the state. Care homes would need to find an extra £25-33 million a year to pay the new tax, which will put higher tax levies on properties worth over £2m and is slated to come into force in 2028. Professor Green warned the new levy would have to be funded either via higher charges to local authorities and NHS commissioners or via a reduction in service investment, capacity, or provision.
The government said it would consult on the proposals but Professor Green said it would “not be appropriate” to leave the need for care home exemption to consultation, arguing they should be “excluded from the surcharge in full.”
response to the findings, offering tips to help care homes make ‘big carbon reductions’, including ways to cut food waste and reduce running costs via greater energy efficiency.
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