Long-term care (LTC) spending has seen the highest growth across the various functions (see Indicator on “Health expenditure by type of service”) and is expected to rise further in the coming years. Population ageing leads to more people needing ongoing health and social care; rising incomes increase expectations on the quality of life in old age; the supply of informal care is potentially shrinking; and productivity gains are difficult to achieve in such a labour-intensive sector. All these factors create upward pressures on spending.
