The warning came from Hospice UK which said the number of out of use beds was up by 25% on last year due to cost pressures.
Toby Porter, chief executive of Hospice UK, said: ‘We know many hospices have waiting lists and demand for end-of-life care is rising, so it's not a case of lack of demand. Hospices desperately want to reach everyone who needs them, but financial pressure is holding them back.'
Hospice UK said the number of closed beds did not account for pressure in community services where most care is delivered.
Recent data showed specialist community visits fell by over 150,000 in the past year.
End-of-life care demand is projected to rise by 25% by 2048.
Alongside full funding of specialist services, Hospice UK is calling for proper NHS contracts for hospices, funding to cover the cost of NHS pay rises for hospice staff and national accountability for equitable provision of palliative care.
Sharon Allen, chief executive of Arthur Rank Hospice in Cambridgeshire, said: ‘This is the exact opposite of the vision the Government has set out in the 10-Year Plan, but unless hospice funding is fixed urgently, more hospices will have to make difficult decisions that have a distressing and lasting impact on dying people and their families.'
A Department of Health and Social Care spokesperson said: ‘Hospices do incredible work to support people and families when they need it most.
‘We have made the biggest investment in a generation - £100m - to improve hospice facilities and have committed £80m for children's and young people's hospices over three years.
‘We recognise there is more to do and we are exploring how we can improve the access, quality and sustainability of all-age palliative care and end of life care in line with the 10-Year Health Plan.'
