Shanghai's private care homes given cash incentive

The operators of private care homes can now apply for financial subsidies from the local government if they also offer in-house health care services.

Depending on the standard of the facilities provided, and subject to approval by health authorities, homes are entitled to between 100,000 (US$16,000) and 500,000 yuan, the Shanghai Civil Affairs Bureau said yesterday.

The announcement was made as the city government seeks to encourage greater involvement by private sector firms in the senior care market. Homes that already have health care facilities can apply for a 50,000 yuan payment, the bureau said.

The government said late last year that it wanted all senior care home residents to have access to medical services equivalent to these offered in hospitals. It set a target to extend such coverage to a quarter of all care home beds by 2020.

"The provision of medical support within the senior care system is very important," Shanghai Vice Mayor Shi Guanghui said earlier.

The bureau said also that care homes will be entitled to reward payments for employing staff who possess recognized qualifications in fields such as nursing and social work.

The maximum possible award is 150,000 yuan per home, it said.

The incentives are part of a wider scheme to tackle the problems of insufficient medical facilities at care homes, the lack of trained staff and substandard management, officials said.

The government said earlier it plans to add 7,000 beds at senior care facilities by the end of the year.

The long-term target is to have at least 159,000 such senior care beds in the city by 2020, up from 115,000 at the end of last year.