Care home ownership: are all care homes private?

No, not all care homes are private, but most are. The Competition and Markets Authority's 2017 study, using December 2016 data, found that for-profit providers had 83% of UK care home beds for older people, the voluntary sector 13%, and local government or the NHS 4%. Private ownership is not the same as private funding: councils and the NHS pay for many residents in privately owned homes.

At a glance

• CMA estimate (UK, December 2016 data): 83% of beds for-profit, 13% voluntary, 4% local government or NHS.
• Scotland, 31 March 2025: 84% of residents in care homes for older people lived in private-sector homes, 10% in council or health board homes and 7% in voluntary or not-for-profit homes (as published; figures are rounded).
• CQC says the care home market in England is consolidating: fewer, larger homes and more investor ownership.
• In England in 2025/26, 37% of care home residents were self-funders, according to CQC.
• No source we read shows that ownership type decides quality or price. Judge each home by its own report.

Who owns and runs care homes in the UK?

There are three broad groups. The shares below come from the CMA’s care homes market study, which analysed December 2016 data for care homes for older people (with a small share of physically disabled residents) across the UK. They are the most recent UK-wide split we could verify, so treat them as indicative.

The same study found the sector was fragmented: the largest 30 providers supplied 30% of capacity, and 80% of providers had only one home. Across the independent sector as a whole (for-profit and charitable together), it estimated about 95% of beds. Councils mostly buy places from independent providers rather than run homes themselves. See what is a care home.

What is the picture in Scotland?

Public Health Scotland’s care home census gives a more recent split. On 31 March 2025 there were 1,003 care homes for adults in Scotland. In care homes for older people, 84% of residents lived in private-sector homes, 10% in local authority or health board homes and 7% in voluntary or not-for-profit homes. The published percentages add to more than 100 because of rounding.

The private-sector number of residents rose by 2% between 2015 and 2025, while residents in voluntary or not-for-profit homes fell by 37% and in council or health board homes by 19%. See paying for care in Scotland. We did not find a current published ownership split for Wales or Northern Ireland in the sources we read.

How is the market changing in England?

CQC’s State of Care 2025/26 describes a care home market that is consolidating. The total number of care homes in England fell by 8% between April 2019 and April 2026, while the total number of beds stayed broadly stable. Large homes (50 or more beds) rose from 13% of homes in April 2012 to 23% in April 2026, and their share of beds grew from 59% to 70%.

CQC also reported more ownership by institutional investors. Between September 2024 and September 2026, the number of homes owned by the five largest providers of care homes for older people increased by 26%. One US-based real estate investment trust now owns homes that, with their operators, represent 9% of all CQC-registered care home beds in England. The CMA launched an investigation in January 2026 into acquisitions involving three of the largest providers, and CQC noted that remedies were accepted in relation to a small number of homes. CQC says it will keep monitoring quality carefully.

Does a private home mean you pay privately?

No. Ownership describes who runs the home; funding describes who pays. CQC estimated that 37% of care home residents in England in 2025/26 were self-funders, up from 36% in the previous two years. Many others have their place arranged and part-paid by the council, or paid by the NHS. The CMA’s 2017 study, using December 2016 data, found that 41% of UK care home residents funded themselves, 49% were council-funded and about 10% were NHS-funded.

Councils generally buy places from independent homes, and a person who is council-funded can choose a suitable independent home within their personal budget. CQC’s analysis of larger providers also found that the share of income from self-funders in care homes for older people rose from 48% in March 2024 to 52% in March 2026. See care home fees explained and choosing a care home when the council pays.

Does ownership affect price or quality?

The sources we read do not compare quality or fees by ownership type, so we do not claim a pattern. What they do show is that fees differ between self-funders and councils: in 2017 the CMA estimated that self-pay fees in the same homes averaged 41% more than those paid by councils, about £236 a week, using 2016 data from larger providers. For current fee levels, see care home fees by region and why care homes are so expensive.

A charity or council-run home is not automatically cheaper or better, and a company-run home is not automatically worse. What matters is the individual CQC rating, the latest inspection report and the contract. See CQC ratings explained and best and worst councils for care home quality.

How can I find out who owns a particular home?

• Open the home’s CQC page and note the provider name. CQC’s directory lists a provider name for every location.
• Look for other homes with the same provider. A provider with many homes may have shared policies and staffing structures.
• Ask the manager who the registered provider is, how long the current owner has run the home and who to contact above the manager.
• Read the contract to see which legal entity you are contracting with.

Councils have duties if a provider fails. The Care Act guidance says the duty applies where a failed provider was meeting needs in the council’s area, whether or not the council has a contract with it. CQC also runs a Market Oversight scheme that checks the financial sustainability of providers whose failure would be hard for local councils to manage. See when a care home closes and largest care groups and their CQC ratings.

Frequently asked questions

Are there still council-run care homes?

Yes, but few. The CMA’s 2017 study put local government and NHS homes at 4% of UK beds for older people. In Scotland in 2025, 10% of residents in care homes for older people lived in local authority or health board homes.

Are charity care homes cheaper than private ones?

Not necessarily. The sources we read do not compare fees by ownership type. Fees depend on costs, location and the care provided. Compare written fee quotes and inspection reports.

Can the council place someone in a private care home?

Yes. Councils buy most places from independent providers. A person whose needs are to be met in a care home can choose between suitable homes, within their personal budget, including privately owned ones.

What share of care home residents pay for themselves?

CQC estimated 37% of care home residents in England were self-funders in 2025/26. The proportion is higher in the south of England and lower in the north, with a resident in the South East about twice as likely to be a self-funder as one in the North East.

Why is the number of care homes falling?

CQC reports that the number of homes in England fell by 8% between April 2019 and April 2026 while beds stayed broadly stable. Capacity is shifting into larger homes, so the market has fewer, bigger sites.

Where to get help next

Search for homes on Find care and compare them side by side with our comparison tool. For the national picture, see how many care homes there are in the UK and our State of Care England 2026 report.

Sources

• CMA: Care homes market study, final report (30 November 2017)
• Public Health Scotland: Care home census for adults in Scotland
• CQC: State of Care 2025/26, consolidation of the care home market
• CQC: State of Care 2025/26, pressures on the adult social care market
• GOV.UK: Care and Support Statutory Guidance

Reviewed by The Care Panel team on 9 November 2026. This guide is general information about care in England, not legal, medical or financial advice. Rules and rates change; check with your council or an adviser before making decisions.