Age-old problems: Demand is projected to continue growing as people live longer

The Retirement Homes industry provides residential and personal care for elderly and physically disabled people who are unable to care for themselves or do not want to live independently. This does not include residential homes with full-time nursing care (see IBISWorld report Q87.100) or residential care for individuals with mental disabilities (see IBISWorld report Q87.200). Local governments supply funding for spending on the industry’s services, either fully or partially, depending on a financial assessment of an individual’s needs. Constrained local government budgets have limited industry revenue growth over recent years. Many operators have been forced to cross-subsidise local-authority beds with fees from self-funded residents...read more.

Industry Statistics & Market Size
Revenue
£5.3bn
Annual Growth 14-19
0.4%
Forecast Growth 19-24
Profit
Employment
215,164
Businesses
3,934
Market Share of Companies

Industry Threats & Opportunities

  • Constrained local government budgets have limited revenue growth over recent years
  • There has been a noticeable increase in the average number of places per home
  • Tighter controls on immigration from Europe could lead to staff shortages
  • Industry Report - Industry Key Buyers Chapter

    There is a low level of concentration in the Retirement Homes industry, with the four largest operators generating an estimated 11.5% of industry revenue in the current year. Most companies are relatively small, and the largest operator accounts for just 5% of revenue. This is likely due to the high costs of setting up new homes including the costs of acquiring land, building the facility, recruiting staff and meeting government standards. As a result, most companies do not have huge numbers of homes and the large number of small-scale operators demonstrates how fragmented the industry is. Nearly 65% of all enterprises employ fewer than 20 people. Som...purchase to read more.

    Additional Insights for the Retirement Homes Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Retirement Homes Industry are

  • Provision of appropriate facilities
  • Optimum capacity utilisation
  • Access to multiskilled and flexible workforce
  • IBISWorld analysts also discuss how external factors such as Population aged 65 years and over and Average weekly hours of work in the Retirement Homes industry impact industry performance..

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    What's in this report

    What is the Retirement Homes Industry?

    This industry provides residential and personal care for elderly and physically disabled people that are unable to care for themselves or do not want to live independently. Industry operators typically provide room, board, supervision and assistance with day-to-day tasks. The industry does not include residential homes with full-time nursing care (see IBISWorld report Q87.100) or residential care for individuals with mental disabilities (see IBISWorld report Q87.200).

    Industry Products
  • Private retirement homes
  • Council-run retirement homes
  • Voluntary non-profit retirement homes
  • Industry Activities
  • Providing assisted-living facilities
  • Administering retirement communities
  • Providing homes for the elderly with minimal nursing care
  • Administering rest homes without nursing care
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Population aged 65 years and over
  • Average weekly hours of work
  • Real government consumption expenditure
  • Real household disposable income
  • Consumer confidence index

  • Current Performance
  • Increasing demand
  • Pressure on profit
  • Rising competition
  • Chart: Revenue Growth

  • Industry Outlook
  • Exit from Europe
  • Demand expansion
  • Funding changes
  • Table: Retirement Homes Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Retirement Homes Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Consumers

  • Key Selling Industries
  • Combined Facilities Support Activities
  • General Building Cleaning
  • Grocery Wholesaling
  • Temporary-Employment Placement Agencies

  • Products & Services
  • Private retirement homes
  • Voluntary non-profit retirement homes
  • Council-run retirement homes
  • Chart: Retirement Homes Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Women
  • Men
  • Chart: Major Market Segmentation for the Retirement Homes Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchasesOther
  • Chart: Cost Structure Benchmarking – Sector vs Retirement Homes

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Retirement Homes Industry

  • Industry Globalization
    HC-One Ltd,
  • Table: HC-One Ltd - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Retirement Homes Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Retirement Homes Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Almshouse
  • A house funded by a charity that offers accommodation for poor people.
  • Care Home
  • A residential home that provides 24-hour general care. Some, but not all, have registered nurses.
  • Palliative Care
  • Care provided to those that are terminally ill.
  • Self-Funder
  • A retirement home resident that pays their own way rather than relying on public money.
  • What Our Customers Say

    Why buy this report?

    The Retirement Homes market research report provides key industry analysis and industry statistics, measures market size, analyzes current and future industry trends and shows market share for the industry’s largest companies. IBISWorld publishes the largest collection of industry reports so you can see an industry’s supply chain, economic drivers and key buyers and markets.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Retirement Homes:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Retirement Homes market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Retirement Homes, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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