'If you want to support growth in the care home sector, that means developing a lending proposition that will make a difference to borrowers'




Demand is rising, capacity has fallen — clearly, more needs to be done to get these care homes in place to meet the needs of our ageing population.

It’s well known at this point that the UK has an ageing population, but the data behind this trend is stark.

The 2021 census found that around one in five people in England and Wales are already aged 65 or over.

Given this growth in the older population, it’s inevitable that there will be a similar spike in demand for care homes.

Encouragingly, we know that there are care home operators out there keen to meet this demand — particularly existing operators, who have honed their processes and understand how to deliver the best possible standard of care for those that require it.

There is also a strong interest from would-be entrants to the market.


They have recognised the need for a greater level of choice and have fresh ideas about how to deliver for care home residents. 

It should be an exciting time for care home operators given the obvious need for their services.

Unfortunately, when it comes to accessing the financing needed for these care home projects, it’s true that many operators and prospective operators are left frustrated.

This isn’t an area of the market many lenders are comfortable operating in, making it ever more difficult to find suitable funding.

It is an issue we are keen to address at Atom, having recently revamped our care home product to help first-time operators.

We have also adapted our proposition to better support those operating specialist care homes, or children’s homes. 

Recognising that there is a gap in this market is not enough; if you want to support growth in the care home sector, then that means developing a lending proposition that will truly make a difference to operator borrowers.

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