Witpold, an independent operator running three care homes in Suffolk, says its Leopold Nursing Home in Felixstowe is no longer viable and will close at the end of July.
The service has been home for up to 36 residents for almost 30 years, providing long-term care, respite, dementia and end-of-life care.
A spokeswoman for the operator told local newspaper Ipswich Star that difficulties recruiting nurses coupled with a squeeze on local authority funding forced her to close the home.
“In recent years the ability of care homes to provide affordable quality care has become increasingly challenging. Restrictions to immigration of nurses have compounded the well-known national shortage of registered nurses.
“They have absorbed both the extra costs of new government regulations and the cuts in national funding. Leopold has been impacted by all of these factors and other factors that are unique to Leopold Nursing Home and this has been instrumental in the decision to close the service.”