HBI Deals+Insights / News

Spot the opportunities: Revealing ratios on nursing home provision across Europe

This week we calculate the ratio of elderly care beds for all citizens aged 85 and over across sixteen European countries. The resulting graphic gives a telling overview of provision and opportunities across different markets.

Europe’s licenced markets have two of the highest ratio of beds per capita (Switzerland, Belgium), alongside Finland. While countries with the largest for-profit sectors come next (Germany and the UK). What doesn’t appear on this graphic is the pace at which populations are ageing, an important factor to consider when looking at market potential, though this needs to be read in conjunction with growth limiters like technological advances.

While Finland has one of the highest ratios of beds per capita, its baby-boomers will be entering the market sooner than in Sweden. Private players are investing well, as it happens, and we hear Finland is a market where provision is the closest to meeting need. Germany also has a rapidly ageing population, but while the for-profit market is attracting much investment, we hear it currently isn’t on course to meet future demand.

Countries where provision is mostly public or not-for-profit have smaller ratios, with around a third of citizens over 85 able to access a bed (Denmark, the Netherlands). High growth rates are seen in Eastern Europe (15-20%) as these immature markets receive fresh investment.

The underserved South has yet to catch up with the concept of nursing homes to the same extent as North Western Europe – in Italy, the elderly are looked after by badanti, or home carers, most of whom lack the necessary qualifications. In Greece, carers from the Balkans are paid around €600-700 a month to look after the elderly and are the main competition for nursing homes. Strong cultural stigma also keeps the market from growing, and players are actively working to educate people on what they see as the benefits of nursing home care.

We would welcome your thoughts on this story. Email your views to Anaïs Charles or call 0207 183 3779.