Southern Hospice Group Proposes Service Review Amid Financial Pressures
- Dominic Kureen
- 2 hours ago
- 1 min read

Southern Hospice Group has announced plans to review clinical services at three of its Sussex hospices due to ongoing financial challenges.
The review will focus on Chestnut Tree House near Arundel, Martlets in Hove, and St Barnabas House in Worthing.
Together, these facilities support more than 100,000 patients, but the group says it only receives 14% of its funding from NHS grants.
A spokesperson for Southern Hospice Group stressed that the hospices are not closing, and that reserves will cover short-term needs.
The review aims to redesign services to make care sustainable, equitable, and aligned with available funding.
The group is currently operating at a £3.7 million deficit, which has been worsened by rising costs including inflation and National Insurance.
Chief Executive Stuart Palma explained that nearly two-thirds of hospices in the UK are facing similar financial pressures, with increased demand from an ageing population and more complex healthcare needs.
Palma added that operational costs have risen by 22%, with National Insurance alone costing an extra £650,000, and that donations from the community have decreased due to the cost-of-living crisis.
The hospice group says it has already taken steps to reduce the deficit without affecting clinical care, including making savings in non-clinical teams, streamlining systems, and exploring new income streams.
Staff consultations on the proposed changes will take place over the next 30 days.




