Industry Statistics and Trends
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 0.4 % over the past five years, to reach an estimated £9.3bn in 2024.
Trends and Insights
Residential care is often self-funded and can be expensive
- Residential care is necessary when someone can no longer cope living by themselves, but can come with a lofty price tag. According to CareHome.co.uk , if you are paying for your own care, the monthly average cost of residential care is £4,640, while nursing care in a care home costs on average £5,640.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Advances in preventative care will curb some pressures from an ageing population
- The ONS projects the number of people aged 80 and over will increase from 3 million in 2024 to 3.76 million in 2030, expanding the market for care.
Biggest companies in the Residential Nursing Care in the UK
| Company | Market Share (%)
2025 | Revenue (£m)
2025 |
|---|---|---|
Barchester Healthcare Homes Ltd | 736.3 | |
The British United Provident Association Ltd | 513.3 | |
HC-One Ltd | 423.2 |
To view the market share and analysis for all 3 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Private-sector care, Public-sector care and Voluntary (third-sector) care. Private-sector care is the largest segment of the Residential Nursing Care in the UK.
Trends and Insights
The surge in private-sector care has been dented by falling disposable income and at-home working
- Private residential nursing care homes can be run by private companies, voluntary or charity organisations or even local councils. An ageing population and a shortage of public-sector provision have expanded private-sector provider's revenue.
- More insights available in the full report
Table of Contents
About this industry
Industry definition
Operators in this industry provide combined residential and intensive nursing care. This combination is what differentiates the industry from other care home operations.
What's included in this industry?
Private-sector careVoluntary (third-sector) carePublic-sector careCompanies
Barchester Healthcare Homes LtdThe British United Provident Association LtdHC-One LtdPurchase this report to view all 3 major companies in this industry.
Related Terms
RESPITE CARECARE HOMECARE QUALITY COMMISSIONIndustry Code
SIC 87.10 - Residential Nursing Care in the UK
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Ageing population drives care demand. The increasing number of elderly citizens in the UK has escalated the need for residential nursing care services.
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Private-sector care falls. Economic turmoil and shifting preferences have caused a decline in private nursing home funding, while at-home care for the elderly becomes more pr...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Popular retirement regions attract care homes. The South East, North West, and South West offer varying appeals such as ideal landscapes and proximity to the coast, attractin...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each region in 2024
- Number and share of revenue each region accounts for in 2024
- Number and share of wages each region accounts for in 2024
- Number and share of employees in each region in 2024
Detailed analysis
- Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Higher incomes drive private care-home reliance. Regions like London and the South East have higher disposable income levels, leading to a higher proportion of residents able...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Industry restructuring and closures. Companies like Four Seasons Health Care are undergoing restructuring and selling off care homes, impacting the industry's financial outlo...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Barchester Healthcare Homes Ltd's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of The British United Provident Association Ltd's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of HC-One Ltd's performance by revenue, market share and profit margin from 2018 through 2024
Detailed analysis
- Description and key data for Barchester Healthcare Homes Ltd, and factors influencing its performance in the industry
- Description and key data for The British United Provident Association Ltd, and factors influencing its performance in the industry
- Description and key data for HC-One Ltd, and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
GDPR safeguards care home residents' data. This regulation ensures operators protect sensitive information, preventing misuse and ensuring privacy for vulnerable individuals.
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Self-care reduces residential nursing demand. With the rise of self-care and at-home living, more individuals opt for assisted living or family care, contributing to some pat...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2018-2022)
- Coverage Ratios (2018-2022)
- Leverage Ratios (2018-2022)
- Operating Ratios (2018-2022)
- Assets (2018-2022)
- Liabilities (2018-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Top Questions Answered
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Residential Nursing Care in the UK industry in United Kingdom in 2024?
The market size of the Residential Nursing Care in the UK industry in United Kingdom is £9.3bn in 2024.
How many businesses are there in the Residential Nursing Care in the UK industry in 2024?
There are 2,330 businesses in the Residential Nursing Care in the UK industry in United Kingdom, which has declined at a CAGR of 0.1 % between 2019 and 2024.
Has the Residential Nursing Care in the UK industry in United Kingdom grown or declined over the past 5 years?
The market size of the Residential Nursing Care in the UK industry in United Kingdom has been growing at a CAGR of 0.4 % between 2019 and 2024.
What is the forecast growth of the Residential Nursing Care in the UK industry in United Kingdom over the next 5 years?
Over the next five years, the Residential Nursing Care in the UK industry in United Kingdom is expected to grow.
What are the biggest companies in the Residential Nursing Care in the UK market in United Kingdom?
The biggest companies operating in the Residential Nursing Care market in United Kingdom are Barchester Healthcare Homes Ltd, The British United Provident Association Ltd and HC-One Ltd
What does the Residential Nursing Care in the UK in United Kingdom include?
Private-sector care and Voluntary (third-sector) care are part of the Residential Nursing Care in the UK industry.
Which companies have the highest market share in the Residential Nursing Care in the UK in United Kingdom?
The company holding the most market share in United Kingdom is Barchester Healthcare Homes Ltd.
How competitive is the Residential Nursing Care in the UK industry in United Kingdom?
The level of competition is moderate and increasing in the Residential Nursing Care in the UK industry in United Kingdom.
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Complementors
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Methodology
How are IBISWorld reports created?
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Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the UK include:
- Office for National Statistics
- Office for Budget Responsibility
- Bank of England
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
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