Business
Scottish Government Allocates £5 Million for Hospice Staff Pay

The Scottish Government has announced a commitment of £5 million to support independent hospices, ensuring that frontline staff who provide essential palliative and end-of-life care are compensated fairly on par with NHS pay scales. This initiative, outlined in the 2025-26 Budget, aims to assist hospices in attracting and retaining skilled healthcare professionals amidst rising workforce pressures and a growing demand for palliative care services.
Health Secretary Neil Gray emphasized the importance of hospices in delivering critical care during challenging times. “Independent hospices provide vital care and support to people and families across Scotland at the most difficult times in their lives,” he stated. Gray expressed satisfaction with the funding’s potential to enhance pay equity for hospice staff, recognizing their skilled and compassionate contributions to patient care.
Despite this financial boost, concerns have been raised by leading hospice providers regarding the adequacy of the funding. Marie Curie Scotland, which operates two hospices in the country, cautioned that the £5 million allocation may not significantly alleviate existing issues. The organization pointed to increased employer national insurance contributions from the UK Government as a pressing concern, which could cost them up to £500,000 in the 2025-26 period alone.
Amy Dalrymple, Associate Director of Policy and Public Affairs at Marie Curie Scotland, noted, “One-off funding like this will not address the long-term funding challenges or tackle the inequalities that exist in end-of-life care.” She called for a sustainable, long-term funding plan that would secure the future of the hospice workforce, ensuring reliable care for individuals regardless of their location or illness.
The urgency of these funding needs was underscored by a warning from hospice leaders in November 2024, who highlighted an “insurmountable funding gap” that could lead to the unfortunate situation of having to turn patients away. While hospices serve as a vital component of the health and care system, they rely heavily on charitable contributions to cover their operational costs.
Jacki Smart, Chair of the Scottish Hospice Leadership Group, welcomed the funding as a necessary initial step. “This is a welcome first step in recognizing the needs of the hospice sector, which plays a key role in delivering specialist palliative care for Scotland,” she stated. She reiterated the importance of fair compensation for hospice staff, aligning their pay with that of NHS professionals.
This announcement follows a significant funding increase from UK ministers, who revealed that £75 million would be distributed among 170 facilities in England, marking a historic investment in the sector. Minister Stephen Kinnock praised the impact of these facilities, stating, “Hospices play a vital role in our society by providing invaluable care and support when people need it most.”
As the landscape of palliative care continues to evolve, the Scottish Government’s financial commitment reflects an effort to bolster the sector, ensuring that hospice staff are recognized and supported in their essential roles. The long-term sustainability of care facilities hinges on ongoing discussions and strategic funding solutions that address both immediate and future challenges in end-of-life care.
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