Head of charity with hospices in Shrewsbury and Telford warns of increasing pressure on finances
The chief executive of a Shropshire hospice has warned that rising running costs are continuing to put finances under increasing pressure - as MPs warned that many are facing a 'cliff edge'.
Heather Tudor, chief executive of Severn Hospice, which has bases at Apley Castle, Telford, and Bicton Heath, Shrewsbury, said the charity had to raiser £2 of every £3 it spent.
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“We are so very fortunate that we have loyal and generous supporters who remain committed to being there for us," she said.
"Our running costs have increased by £2.5 million in the last two-to-three years and this has made budgeting very challenging. To manage this, we have delivered significant cost improvements through innovations and working differently. As a result of this work and the continued support of our communities which we don’t take for granted, we have ensured the delivery of services to our patients and will end this year in a strong financial position.
“The fact remains however, that our recurring costs are rising faster than our income and so the pressure to increase funding is very real."
A new report revealed that 57 per cent of hospices were running at a deficit, with 20 per cent of them losing more than £1 million a year.
Toby Porter, chief executive of Hospice UK and the former head of Acorns Children’s Hospice in the West Midlands, warned that hospices were 'on the brink'.
He said two in five of all UK hospices were planning to make service cuts this year.
“We’ve been ringing the alarm on hospice funding for some time, yet too many hospices are still struggling to cope with the rising cost of providing their essential care," he said.
"Sixteen hospices have already made significant service cuts, and our data shows two in five of all UK hospices are planning to make cuts this year.
“This cannot continue, we need a long-term solution to hospice funding to ensure dying people get the care they need. This starts with full funding of specialist palliative care provided by hospices. With assisted dying on the horizon this could not be more pressing. The time to fix hospice funding is now.”
Claire Towns, chief executive of Mary Stevens Hospice in Stourbridge, said hospices could no longer rely on charitable donations to keep the sector afloat.
Mrs Towns said: “Evidence from across the sector shows that the current hospice funding model is no longer fit for purpose.
"Like many hospices in the UK, we are facing a financial deficit this year and are currently operating with a deficit budget of half a million pounds.
"We are immensely grateful for the ongoing support of our community, but charitable income cannot continue to bridge the gap.
"We are calling for a sustainable, long-term funding solution that ensures specialist palliative care is properly and consistently funded, enabling hospices like ours to continue providing care when it matters most.”
The parliamentary public accounts committee says too many people are dying in hospitals instead of at home or in a hospice, and MPs criticised health leaders for not taking financial 'crisis' in the hospice sector seriously enough.
The committee warned that the sector in England was facing a 'serious financial situation' which was already affecting patient care, including cuts to services.
