A hospice which was recently forced to cut 21 jobs and reduce its bed capacity from 23 to 15 beds has welcomed news that the Secretary of State for Health and Social Care will review hospice funding before Christmas.
The announcement comes just days after St Giles Hospice’s significant service reductions made national headlines, highlighting the mounting pressure on hospice care across the UK as the sector faces a £77 million funding deficit.
The hospice, which has been serving the community for over 40 years, has seen increasing pressure on its resources. While recent changes have reduced the annual deficit, the hospice now faces new financial pressures from increased employer national insurance contributions announced in the budget and potential NHS wage increases, which would add hundreds of thousands to its salary costs. Like many in the sector, St Giles has experienced a real-terms reduction in statutory funding, while simultaneously managing significant increases in operational costs. The ongoing cost-of-living crisis has also impacted voluntary income, as supporters face their own financial challenges.
Elinor Eustace, Interim CEO of St Giles Hospice, said: “We welcome the commitment from Wes Streeting, Secretary of State for Health and Social Care, to make a decision on hospice funding before Christmas. This comes at a crucial time for St Giles Hospice, as we, like many hospices across the UK, face significant financial challenges.
“Having recently had to make difficult decisions, including reducing our bed capacity and implementing staff redundancies, immediate support would help protect our progress and manage upcoming challenges, including increased National Insurance costs estimated at around £200,000. However, while emergency funding would provide much-needed short-term relief, we strongly support Hospice UK’s position that this must be accompanied by long-term reform of hospice funding.
“We remain committed to providing outstanding end of life care to our local community, but sustainable funding is essential to secure the future of hospice services. We look forward to the government’s decision and hope it will reflect both the immediate crisis and the need for lasting change in how hospice care is funded,” Elinor added.
The hospice sector as a whole is facing significant financial challenges nationally, with many organisations having to make similar decisions. St Giles continues to work alongside Hospice UK and other hospices to advocate for sustainable funding solutions.
St Giles Hospice remains committed to supporting patients and their families across their catchment area, which includes Staffordshire, North Birmingham and surrounding areas. The hospice will continue to provide care both at their sites in Whittington and Sutton Coldfield and in patients’ own homes across the region.
Toby Porter, Hospice UK’s CEO, said: “We welcome Wes Streeting’s confirmation that a decision on immediate support for both children’s and adult hospices will be taken before Christmas.
“We look forward to working with the Department of Health and Social Care on the details. We will make the case that any short-term support must be accompanied by a commitment, via the ten year plan for the NHS, to long term reform to the way hospices are funded, and to the provision of palliative and end of life care across the country.”
