The Welsh Government has announced a £4.3 million support package to provide financial relief to children's and adult hospices.
National commissioning guidance aims to set out a fairer and more consistent approach to commissioning hospice and palliative care services. From April 2027, these reforms set the direction for a streamlined national commissioning model. This model will address inequity and variation in access to hospice and palliative care across Wales.
Around 35,000 people die in Wales each year, with up to 29,000 having palliative care needs.
The sector is facing ongoing challenges, along with variation in access to services. Around a quarter of people in Wales are currently lacking access to a hospice or equivalent specialist palliative care support.
It is hoped this one-off grant will help hospices providing commissioned NHS care manage significant financial pressures, including rising energy costs, workforce shortages and increasing demand and complexity of care.
Cabinet Secretary for Health and Social Care, Jeremy Miles, said: "Hospices provide valued and trusted care to thousands of people and families at the most difficult time in their lives. They enable people to spend their final days with dignity, comfort and compassion, surrounded by those they love.
"This grant will provide immediate support to help hospices continue their vital work. With the new commissioning guidance, we are laying the foundations for a fairer, more sustainable future for hospice care in Wales; one where funding is more predictable, services are commissioned based on need, and every person has access to high-quality end of life care."
National Clinical Lead for Palliative and End-of-Life Care, Dr Idris Baker, said: "The new commissioning guidance is a major step forward, setting a clear and consistent approach to how hospice care is planned and funded across Wales.
"Hospices are a vital part of the palliative and end-of-life care system, bringing specialist expertise, compassion and support to people, families and communities when it matters most.
"This funding provides important stability for the sector now, while the guidance lays the foundations for a more sustainable and equitable future, helping ensure that access to high quality care is based on need, wherever people live.
"Our focus now is on implementation and the next phase of work to strengthen equity across Wales, including developing a whole system approach to specialist palliative care commissioning. By building on this progress, we can reduce variation, improve access, and ensure services work seamlessly together to meet the needs of people and families across all settings."
