Homes registered since 2015 retain a significant premium over older homes

Authors: Ben Hartley, Jessica Stainthorp

This article is part of a series exploring our newly updated database of self-funded fee rates for 9,000+ elderly care homes in Great Britain, enabling us to shine a light on how fee rates change by region, as well as how the characteristics of homes correlate with the fees they quote.

For background on this research, please see the first article in the series, which highlights how self-funded fee rates for nursing and personal care have changed over the past year, comparing data from Q2 2020 and Q2 2021, broken down by country/region.

In this article we explore the impact of age of scheme on the self-funded fee rates quoted by operators. We’ve used year of first registration to determine age, and compared self-funded fee rates across care homes registered before and since 2015 located across Great Britain.

 

Get the full research report now

Our full research report (PDF) is available by request and explores in thorough detail:

  • The changes in national and regional quoted self-funded fees for both nursing care and personal care
  • How fees break down by age of home (focusing on the sector’s newest and shiniest assets)
  • How COVID-19 mortality rates have impacted on quoted self-funded fees
  • What our data can tell us about the typical profile of a home with an Outstanding CQC rating
  • How local authority baseline fee rates vary across Great Britain

To request a copy of the full report, please email info@carterwood.co.uk or call 01454 838038.

 

Homes registered since 2015 retain a significant premium in quoted fees over older homes overall

Our last report revealed a significant premium in quoted fee rates for the newest homes in the market (registered since 2015). The newer the home, the higher the fee rate. This fundamental characteristic of the market has not changed when we look at the fees being quoted in Q2 2021.

We’ve compared the average self-funded fees being quoted by homes registered after 2015 with the averages for all other homes, broken down by region:

 

Table 2: Regional fee rates – comparison between 2015+ homes and all other homes

 Nursing self-funded  average fees- 2015+ homesNursing self-funded  average fees - All other homesNursing self-funded  average fees - DifferencePersonal care self-funded average fees - 2015+ homes (£)Personal care self-funded average fees - All other homes (£)Personal care self-funded average fees - Difference
East Midlands£1,242£1,13210%£1,014£83022%
East of England£1,443£1,23017%£1,228£98125%
London£1,798£1,38630%£1,371£1,10824%
North East England£1,152£1,01514%£878£78512%
North West England£1,177£1,02914%£957£77623%
Scotland£1,346£1,16416%£1,265£1,00027%
South East England£1,567£1,38313%£1,336£1,02730%
South West England£1,371£1,23711%£1,172£97121%
Wales£1,233£1,06316%£944£80517%
West Midlands£1,358£1,18315%£1,081£84228%
Yorkshire & The Humber£1,223£1,10011%£908£78516%
All regions£1,399£1,19717%£1,129£90425%

 

Overall, homes registered since the start of 2015 charge a 17% and 25% premium for nursing care and personal care respectively, when compared to the rest of the dataset.

Newer homes clearly quote a greater premium for personal care than nursing care, which we consider likely to be driven by an ongoing shift in the mix of homes in this category, towards a greater proportion of personal care and personal care dementia registrations in the newest developments and a move away from nursing care to avoid staffing challenges and costs.

 

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Carterwood Analytics – Elderly Care Homes

Carterwood’s comprehensive fee database is accessible at a local market level via our Carterwood Analytics platform. To find out more just email sales@carterwoodanalytics.co.uk.

Carterwood’s specialist reports for the elderly care home sector

Optimise your elderly care home fees by commissioning a Fee Benchmarking Report from Carterwood’s sector-specialist advisory team. Our unique dataset and deep expertise can unlock growth opportunities across your portfolio. Click here to find out more about our specialist reports or email info@carterwood.co.uk to get in touch with a member of our friendly team.

 

 

 

 

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