Funding Cuts Force Arthur Rank Hospice to Reduce Services

Funding Cuts Force Arthur Rank Hospice to Reduce Services

Cambridge University Hospitals recently warned of a £38million funding cut. They are cutting the yearly funding to the Arthur Rank Hospice in Cambridgeshire by £829,000. This has financially necessitated the hospice closing down nine of its 21 beds. Consequently, since March terminally ill patients in the region have had fewer options for compassionate end-of-life care. The decision has raised concerns about the future of palliative care services as hospices across England face mounting financial pressures.

The hospice crisis across England is becoming a large and very real issue. Shockingly, two-thirds of adult hospices have acknowledged they are in the red for fiscal year 2023-24. This unprecedented financial crisis is leading many of these facilities to make tragic choices about laying off staff, losing bed space, and closing community service lines. Given around 580,000 excess deaths every year in England and Wales, the effects of these cuts are monumental. Over 200 people will miss their chance to have hospice care come to them. This move makes a horrible situation even more traumatic and harmful given the convoluted, painful, and confusing reality of end-of-life care in our nation.

In fact, home was the place of death for 85% of all deaths in Victorian England. However, trends have moved in the opposite direction. Today, less than one-third of deaths occur at home. Instead, the majority of people die in hospitals, nursing homes, or hospices, which make up less than 5% of deaths today. This transition further emphasizes the institutionalization of dying that many healthcare practitioners are increasingly alarmed by.

Rachel Clarke is an NHS consultant in palliative medicine. Winner of the 2025 Women’s Prize for Nonfiction, she shines a light on the urgent need for expanded access to palliative care. Each year, she points out, it is more than 150,000 people who lack access to the palliative care they need and deserve. Meanwhile, demand for these services is going to skyrocket by more than 25% by 2048. If we don’t fundamentally shift our funding and resources away from the status quo, a crisis looms.

Sharon Allen, the CEO of Arthur Rank Hospice, expressed her disappointment at the funding cuts. She underscored the harm that these cuts are causing to patient care.

“Essentially, this now means that over 200 people a year will no longer have the option of being cared for in the comfort of our hospice and instead will sadly be dying in a busy hospital,” – Sharon Allen

This most recent round of cuts follows years of dangerous fiscal cliff for hospices. Many organizations lack the support to ensure continued operational viability while delivering high-quality care that patients and families with terminal illnesses deserve. Public Accounts Committee—following the NAO’s findings of a hospice sector in financial crisis. This worsening crisis has led to widespread calls for reform and greater support.

One government representative recognized the ongoing challenges faced by palliative care providers. They promised that fixes are in progress to settle these complaints.

“We recognise there is more to do, and we are exploring how we can improve the access, quality and sustainability of all-age palliative care and end-of-life care in line with the 10-year health plan.”

Critics argue that without immediate action, many people will continue to fall through the cracks of an overstretched system. Cambridge University Hospitals took funding decisions based on what they identified as providing value for money. While they appreciated what Arthur Rank Hospice does, they claimed that continued funding was not warranted.

As more hospices continue to face the same financial challenges, many worry that bad acts will lead to a reduction in critical services. What does the IAPT rollout mean for the future of palliative care in England? Are we going to invest adequately to prepare for this burgeoning demand?

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