KPMG Management Consulting were appointed by the Irish Registered Nursing
Homes Association (IRNHA), formerly the Irish Private Nursing Homes Association,
to conduct a sectoral study of the private nursing homes industry in Ireland. The
objectives of this study were to review the private nursing home industry in terms of its
structure, the supply of nursing homes and the demand in Ireland for long stay geriatric
In examining the cost structures within the sector, the financial analysis presented in
this report provides a breakdown of the costs of care by home size, health board region
and by home location.
The supply of private nursing homes varies considerably in terms of type and size of
home. The total supply of private and voluntary nursing homes has increased by 21 %
from 299 in 1989 to 361 in 1995.
In 1989, 27% of nursing homes in the private sector were voluntary homes run by
religious or charitable organisations. The number of voluntary homes in 1995 was 57
representing only 16% of private nursing homes.
Commercial nursing homes have reduced in size. In 1989 the average number of beds
per home was 27.2. The most recent figures for 1995 show that the average home size
has dropped to 24.2, representing an average decrease of 3 beds per home.
Overall, the average home size, including voluntary and commercial homes is 28.9
beds. The total supply of homes in the private sector in March 1995 was 361 homes
providing 10,425 beds.
The number of beds provided by commercial homes has increased from 5,936 in 1989
to 7,355 in 1995.
The Eastern Health Board (EHB) region represented 30.1 % of the national private
nursing home supply in 1989. The growth in the supply of homes in the EHB region
was higher than the national average of 21 %. The number of nursing homes in the
EHB region increased from 90 in 1989 to 117 in 1995.
The monthly returns by the Health Boards on the implementation of the Health
(Nursing Homes) Act 1990 for 1994 would indicate that the supply of nursing homes
is continuing to increase. In December 1994 373 applications for registration had been
received by the Health Boards from nursing homes. Proportionately, 16% of these
homes were voluntary homes.