A need for an increased number of high-quality care homes across the UK could represent an opportunity for new investment in what has quickly become one of the country’s best performing and most popular asset classes.
Liberal Democrat MP Paul Burstow has called for an increase in the number of non-traditional care homes across the nation, saying that more retirement villages and adapted flats are needed in order to meet demand, rather than simply relying on traditional care homes.
In his review of residential care for the think tank Demos, the former care minister said that NHS land in surplus should be used for the building of more care properties. In return, owners of care homes would be asked to contribute to council care.
At the moment, Mr Burstow said, there are some 450,000 people living in care homes across the UK, but when it comes to retirement villages and adapted flat complexes, this figure is far smaller. He said this is something that needs to change.
There are many benefits to the newer types of care home that are becoming ever more popular with investors, including the fact that they give residents tenancy rights and influence into how they are run, as well as giving them a freedom and independence they might not have otherwise.
As we are living longer lives, housing with care is going to become increasingly important in helping us stay independent, happy and healthy,” Mr Burstow said.
“It is vital that government wake up to this reality sooner rather than later and helps create the right incentives to ensure older and disabled people have a genuine choice when they need to move.”
The use of NHS land, only 40 per cent of which it uses for hospitals and other care facilities at the moment, would represent a real investment opportunity for those looking to put their money into care homes. Any more like this from the government would come at a perfect time as well with demand for these types of assets growing all the time.