NHS funding given to care homes to provide nursing care will increase by 7.7%, the government has announced.
While the move has been welcomed by industry leaders, they stressed there were ‘still significant challenges and cost pressures’ within the sector.
NHS-funded nursing care (FNC) is used to cover the costs of registered nursing care in care homes and is paid directly by the NHS.
Related Article: Fewer patients access social care due to staffing costs, says report
For 2025/26, the government has confirmed the standard weekly rate per resident will increase from £235.88 to £254.06 from 1 April 2025. The higher rate of FNC will rise from £324.50 to £349.50 per week.
Professor Martin Green, chief executive of Care England, said: ‘This increase is a step in the right direction, but it cannot be viewed in isolation.’
He pointed to ‘relentless’ pressures within the social care sector, including the rise in National Insurance Contribution and a ‘shrinking pay gap’ between nurses and those on the National Minimum Wage.
These were all issues that ‘threaten the sustainability of nursing care’, Professor Green warned.
He added: ‘Care England has been working collaboratively with the Department of Health and Social Care for some years to ensure that the increases to FNC reflect the true costs of delivering nursing care.
Related Article: Research shows high levels of violence faced by social care nurses
‘Even with a 7.7% increase, there are still significant challenges and cost pressures in funding this type of care for people with very complex needs.’
Earlier this month, the House of Lords voted to exempt social care providers from the increase in employers’ National Insurance Contributions due to start in April.
In January, the government launched an independent commission to ‘rebuild’ adult social care.
The commission, led by Baroness Louise Casey, is not expected to make ‘longer-term recommendations’ until 2028.
Related Article: Longer-term funding needed to secure hospice nurse workforce
Last July, findings from the Association of Directors of Adult Social Services (ADASS) 2024 Spring Survey found that NHS funding for nursing care in care homes was ‘insufficient’ to recruit and retain registered nurses.
Last March, a 7.4% funding increase to FNC care for 2024/25 was described as a ‘win for the sector’.
