Garden Annexe vs Care Home Cost UK

Care home fees in the UK have risen well above general inflation in recent years. At the same time, many families would prefer to keep older relatives close, with their own front door, while still being part of day-to-day life. A garden annexe — typically a static caravan or lodge — is one of the options families weigh up.

A garden annexe is not a like-for-like replacement for a care home. It does not provide nursing or 24-hour personal care, and the right choice depends on the relative’s health, support needs, family capacity, and the suitability of the garden plot itself.

Costs vary significantly by region, level of care and the individual provider. As a rough guide drawn from typical industry reporting:

• Residential care: commonly quoted in the £800–£1,500 per week range
• Nursing care: often £900–£1,800+ per week, depending on need and region
• Specialist or dementia care: typically higher again
• Over a year, this can translate to roughly £40,000–£90,000+
• Fees usually rise each year — a multi-year arrangement should plan for that

These are general market ranges, not quotes. Self-funding, local authority funding and NHS funding all work differently and may change what a family actually pays.

With a static caravan or lodge in the garden, the main cost is the unit and getting it onto the plot. Running costs are usually much lower than a care home, although ongoing care needs may add other costs the annexe itself doesn’t address.

• Static caravan or lodge unit: typically £25,000–£120,000+ depending on size and specification
• Delivery, siting and base: often several thousand pounds, more for difficult access or piled bases
• Services connection (water, drainage, electricity): varies hugely by distance from existing services
• Planning, surveys and consultancy: typically a smaller line item but should be budgeted for
• Ongoing running costs (utilities, insurance, maintenance) tend to be far lower than residential care fees

What an annexe doesn’t replace

• It does not provide professional nursing or 24-hour care
• It does not remove the need for medical, social-care or safeguarding professionals where these are needed
• It does not solve mobility or accessibility issues by itself — these need to be designed for

What it can offer

• A self-contained, private space close to family
• Lower ongoing costs than residential care, where care needs allow
• Flexibility — the annexe can be repurposed (working from home, adult child, guests) later
• Continued involvement of the relative in everyday family life

• A garden annexe is not a substitute for professional health or social care
• Each family’s financial picture is different — talk to a regulated financial adviser before making long-term decisions
• Local planning context (conservation areas, AONBs, Green Belt, listed buildings) can affect what is acceptable on a specific site
• How the annexe is used in planning terms (incidental use vs. separate dwelling) is a key consideration
• Care, healthcare and financial advice should come from qualified professionals — not from a website

• Speak to the relevant family members — the person being supported, the host household, and anyone with caring responsibilities
• Get a realistic picture of current and likely future care needs from healthcare and social-care professionals
• Confirm the financial picture with a regulated financial adviser if needed
• Check the suitability of the garden plot — access, base, services, drainage, intended use
• Engage with your local authority planning team early about the specific site