Commons Sense

House of Commons · Westminster Hall

Hospice Sector: Fiscal Support and Cost of Living

02 March 2023 · 4 other contributors · 7,851 words

Opened by Patricia Gibson SNP North Ayrshire and Arran

Responding minister: Neil O'Brien

EconomyNHSEnvironment

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Patricia Gibson raised concerns about hospice sector: fiscal support and cost of living in Westminster Hall. A government minister responded.

Key points

  • The hospices across the UK face significant financial challenges due to a fivefold increase in energy costs.
  • Hospices cannot pass on these increased costs to customers and rely heavily on public donations for funding.
  • The Government are aware of the pressures and challenges affecting the hospice sector and have been raised for debate.

Key requests to Government

The Government should ensure that the Chancellor delivers support for hospices in the spring statement on April 1st to cover energy costs and other expenses. A more sustainable funding model must be developed to secure the future of hospice services, which provide essential care and reduce pressure on the NHS.

How the debate unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said.

Opened the debate

Patricia Gibson SNP North Ayrshire and Arran

The hospices across the UK are facing significant challenges, including fivefold increases in energy costs. Hospices cannot pass on these increased costs to customers as private businesses can and rely heavily on public donations for funding. The current level of financial support is inadequate, threatening their very existence during the cost of living crisis. Hospices receive only about 30% of their funding from statutory sources, with two-thirds of adult hospice income raised through fundraising, which is becoming increasingly fragile due to rising costs and reduced charitable contributions.

Other contributors (4)
  • Bambos Charalambous Lab Southgate and Wood Green

    The MP praised the work of hospices, highlighting North London Hospice's facilities in his constituency. He mentioned that charities like hospices are facing significant financial challenges due to rising energy costs and the cost of living crisis. The MP noted that North London Hospice faces an energy bill increase of £280,000 for 2023-24, totalling over £460,000. He urged the Government to extend the energy bills discount scheme or find alternative funding solutions.

  • Feryal Clark Lab Enfield North

    Praised the vital role hospices play in providing palliative care and highlighted that more than 300,000 people received care from hospices in 2020-21. Raised concerns about rising costs of energy, food, and staff, estimating an additional £100 million a year for hospices.

  • Munira Wilson Lib Dem Twickenham

    Wilson expressed concern about the rising demand and costs in children's hospices, noting a 40% increase in demand between 2009-10 and 2017-18. She highlighted specific energy cost increases at Shooting Star Hospice from £90,000 to an estimated £230,000 by September 2023, urging the Minister to advocate for hospices to be reclassified as energy-intensive industries. Wilson also raised concerns about the potential loss of funding beyond 2023-24 and asked for assurances that a children's hospice grant would continue as a ringfenced grant from NHS England. Acknowledged the Minister's response on the children's hospice grant but urged for more clarity on future funding, questioning how hospices can plan without certainty. Also challenged the absurdity of excluding hospices from energy-intensive groupings while including botanical gardens and zoos.

  • Patrick Grady SNP Glasgow North West

    The hospice movement is vital, providing complex care and support for those nearing the end of life. Patrick Grady highlighted escalating energy costs affecting hospices' operations, with some facing up to fivefold increases in bills. He also noted inflationary pressures impacting food and nutrition expenses by an estimated £100 million annually. Grady emphasised the importance of fair wages for staff amidst cost-of-living challenges and called for recognition of the sector's financial difficulties through targeted support.

Government Response

Neil O'Brien

It is a pleasure to serve under your chairmanship, Mr Paisley. I congratulate the hon. Member for North Ayrshire and Arran on securing this debate and thank her for the support that she gives to the palliative, end-of-life care and bereavement sectors. The Government are acutely aware of the pressures and challenges posed by the rising costs that have been mentioned in today's debate. While they affect us all in every sector, the impact on the hospice sector has rightly been raised for debate. Everyone here recognises the incredible importance of palliative and end-of-life care services, and the invaluable work that hospices, charities and the people who support them do to ensure that dignity, care and compassion are present in our lives when we need them most. The Government recognise the importance of quality palliative and end-of-life care for children and young people. NHS England is investing £23 million via the children's hospice grant by March 2023, rising to £25 million by 2023-24, in order to provide care close to home for seriously ill children when they need it. The funding of hospices and the sector is indicative of the Government's commitment to their work and the vital societal role that they play. To meet the energy pressures, the UK Government's energy bill relief scheme provides a price reduction in wholesale gas and electricity prices for all UK businesses and all other non-domestic customers. That means that they will pay wholesale energy costs below half of the expected prices this winter. A new scheme—the energy bills discount scheme— was announced in January to help hospices' budgetary planning into the future and provide certainty. It is intended to help hospices' budgetary planning into the future and provide certainty. The Government are also providing £5 million match funding available to ICBs for local children's palliative and end-of-life care services, which will rise to £7 million in 2023-24. To help with some of the other cost of living pressures on households— which is the last thing people need when they are in need of hospice care—we are taking measures such as the extra £900 cost of living payment for 8 million poorer households, the largest ever increase to the national living wage for 2 million workers, and a total of £26 billion for cost of living support next year. I hope some of these supportive measures will reassure Members about the Government's commitment to the sustainability of the hospice sector, particularly during this challenging fiscal period.

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