Black Country hospices facing higher bills due to NI and wage rises

The move is part of the Government budget plan to "fix the foundations of the public finances and invest in public services" with the aim to raise revenue for the NHS and increase funding for benefits like the state pension. 

Wolverhampton based Compton Care said the move is expected to cost the Compton Road West charity an additional £500,000.

Rachel Overfield chief executive said: "At Compton Care we remain committed to providing specialist palliative and end of life care, as well as bereavement support, to those in our local communities who need it most. Like many charities and healthcare providers, we are acutely aware of the financial pressures caused by the rising cost of living and increases in National Insurance, which are projected to cost the charity an additional £500,000 from April 2025.

"These economic challenges affect our staff, volunteers, and the people we support. Rising operational costs – including energy bills and staffing expenditure, place additional strain on our resources. As a charity that relies heavily on donations and fundraising, we are also mindful of the financial difficulties facing our supporters.

"Despite these challenges, we remain steadfast in our commitment to delivering the highest standard of care.

"There are no planned cuts to our vital services, and we continue to seek opportunities to expand the support we provide wherever possible. We are actively exploring innovative ways to mitigate rising costs through diversifying our income streams, improving efficiency, and forming strategic partnerships. However, we urge the government to fully recognise the essential role of hospice and palliative care services and to ensure sustainable funding and support to safeguard our future and the wellbeing of those who depend on us.”

Claire Towns, chief executive of Stourbridge based Mary Stevens Hospice, said: "Following the Autumn budget, Mary Stevens Hospice along with other UK hospices, are facing an exponential rise in salary costs due to the increase in the employer national insurance contribution, along with the living wage increase. For Mary Stevens Hospice this means having to raise an additional £150,000 per year.

"There are no planned cuts to our workforce or patient services. The Senior Leadership Team at the hospice are exploring several ways of improving the financial resilience over the coming years. The hospice is one of many taking part in a national legacy campaign as gifts in wills are critical to our future sustainability."

The issue follows a joint hospice campaign which saw chiefs petition Westminster for more funding due to finance pressures exacerbated by the cost of living crisis.

In December the Government announced an investment of £100 million to help both adults and children's hospices in their provision of end-of-life care.