Sweden Home Healthcare Market Analysis

Sweden Home Healthcare Market Executive Summary

Sweden's home healthcare market was valued at $1.31 Bn in 2022 and is estimated to expand at a compound annual growth rate (CAGR) of 7.93% from 2022-30 and will reach $2.40 Bn in 2030. The cost of health and medical care as a percentage of Sweden's GDP has been relatively consistent and is comparable to that of the majority of other European nations. In Sweden, healthcare expenses typically account for 11% of GDP. Regional and municipal taxes in Sweden make up the majority of the cost of healthcare and medical care. While patient fees only cover a small portion of expenses, contributions from the federal government are another source of support. In 2021, a year of unusual spending because of Covid-19, the government spent roughly $13.18 Bn on health, medical, and social care. However the government typically incurs this as one of its higher costs. The country's health and elderly care systems are deserving of its status as one of the best in the world. Nevertheless, an aging population with an increase in chronic illnesses and a need for more complex health services is putting Sweden's ability to continue providing high-quality care to the test.

Swedish welfare policy places a strong emphasis on the health and social care of the elderly. 20 percent of Sweden's 10 million citizens are older than the 65-year-old retirement age. By 2040, this percentage is expected to increase to 23%, in part due to the significant number of Swedes born in the 1940s. The home healthcare market is characterized by strong government support and investment, as well as the presence of a well-developed and competitive private sector. Key players in the market include both local and international home healthcare providers and medical device companies. The Swedish government is also investing in the development of digital health solutions, which are expected to play an increasingly important role in the provision of home healthcare services in the future.

Market Dynamics

Market Growth Drivers

The average lifespan of people in Sweden is increasing, as it is in many other affluent nations. Swedish people today live an average of 81.21 years for men and 84.82 years for women. Undoubtedly a good thing, but it also puts pressure on the healthcare system and raises the need for elder care. The average age of the population is 65 or older. Thus, Sweden has one of the highest proportions of old people in all of Europe. The proportion of children born in Sweden, however, is slightly higher than the average EU 1.67 per woman versus 1.5 in the EU. The duty for healthcare in Sweden is decentralized; regional councils and, in some situations, local councils or municipal governments are in charge. There are 290 municipalities and 21 regional councils in Sweden. The Health and Medical Service Act governs how healthcare is decentralized. The central government's job is to set political priorities for health and medical treatment as well as principles and rules.

According to Swedish law, each regional council is required to offer inhabitants access to high-quality healthcare and seek to advance population health. Helping the elderly and those with disabilities live independent lives is one of the goals of geriatric care. This includes continuing to reside in their current residences. Elderly persons who stay in their homes might get a variety of supports to make their lives simpler. For instance, practically every municipality in Sweden provides ready-to-eat meals that can be delivered to your door.

Home care workers helped about 236,000 people who were 65 or older in 2020. Nearly half of the towns in the nation also organize small teams of elderly persons to prepare their own meals, while a few municipalities provide communal meals for seniors in special day centers.

Market Restraints

The Swedish healthcare system struggles to meet patients' expectations and coordinate care at various levels. In the coming decades, Sweden will have to contend with the difficulty of meeting the escalating health and long-term care needs of an aging population. Budgetary constraints are anticipated to come from long-term care costs as well as health care costs, which is even more significant. In Sweden, public spending on long-term care might increase by 1.7 percentage points of GDP between 2016 and 2070, while public spending on health could increase by roughly 1 percentage point of GDP, according to the most recent predictions from the European Commission's Ageing Working Group. This emphasizes how difficult it will be to effectively address the escalating health and long-term care needs in the coming years.

Competitive Landscape

Key Players

• Elderly Care Sweden
• Tandfonline
• Attendo
• Handikappomsorg
• Äldreomsorg i Stockholm

Healthcare Policies and Regulatory Landscape

The Social Services Act regulates elder care, which is mostly the provinces' responsibility. Swedish municipal taxes and grants account for the majority of funding for aged care. Sweden's municipal cost of providing care for the elderly in 2020 was $12.934 billion. The elderly's own healthcare expenses are subsidized.

Swedish municipalities are expected to take elderly and disabled people's needs into account when developing dwellings and residential spaces. Over time, the importance of these accessibility criteria has increased in legislation.

"Senior housing" refers to standard dwellings for adults 55 and older, and occasionally for people over 70. Accessibility is a top consideration in such homes. Some are recently constructed, while others are ordinary homes that have undergone conversion or restoration to make them more accessible.

A government organization under the Ministry of Health and Social Affairs, the National Board of Health and Welfare (Socialstyrelsen), gathers data and creates standards to guarantee social welfare, good health, and high-quality medical and social care for the entire population.

According to Swedish law, each regional council is required to offer inhabitants access to high-quality healthcare and seek to advance population health.