HealthExec January 16, 2025
Multiple regulatory agencies have released a report decrying the “new and unique risks” private equity poses to healthcare, including higher prices, layoffs, inadequate staffing and diminished care quality.
The report comes after a year-long investigation by the Federal Trade Commission (FTC), U.S. Department of Justice (DOJ) and the U.S. Department of Health and Human Services (HHS). The agencies said concerns related to private equity investments in hospitals and provider practices have led to “increasing consolidation” which has largely negative trickle-down effects.
“The cost of healthcare has been outpacing wage growth for patients for decades, putting strain on both public and private budgets and limiting access. One of the main factors contributing to unsustainable healthcare inflation has been growing consolidation in...