Hospices: Finance

We are immensely grateful for the critical role healthcare workers, including hospice staff, play in our health service and the high-quality, compassionate care they deliver.

The impact that National Health Service pay uplifts will have on the hospice sector will depend on the structure of the charity, including the number of employees and salary levels.

Independent organisations, such as charities and social enterprises, are free to develop and adapt their own terms and conditions of employment, including pay scales. It is for them to determine what is affordable within the financial model they operate, and how to recoup any additional costs they face if they choose to utilise the terms and conditions of NHS staff on the Agenda for Change contract.

NHS England has issued guidance on the implementation of the 2024/25 pay awards. Providers of NHS-commissioned services should direct questions to their commissioners, from either the local integrated care board or NHS England regional team, on the application to their specific contract arrangements.

Additionally, we are supporting the hospice sector with a £100 million capital funding boost for eligible adult and children’s hospices in England to ensure they have the best physical environment for care.

We are also providing £26 million in revenue funding to support children and young people’s hospices for 2025/26.  I can also now confirm the continuation of this vital funding for the three years of the next Spending Review period, from 2026/27 to 2028/29 inclusive. This funding will see approximately £26 million, adjusted for inflation, allocated to children and young people’s hospices in England each year, via their local integrated care board on behalf of NHS England, as happened in 2024/25 and 2025/26.  This amounts to approximately £80 million over the next three years.