Healthcare Finance News December 15, 2025
Nathan Eddy

Non-labor expense increases of 6% to 10% over the past year were driven in part by tariffs, says Kaufman Hall report.

Hospitals and health systems are heading into 2026 with rising non-labor expenses, workforce pressures, capacity constraints and payer reimbursement issues shaping their financial outlook, according to a Kaufman Hall report.

Nearly 60% of surveyed organizations reported non-labor expense increases of 6% to 10% over the past year, driven in part by tariffs – an issue that 83% of respondents are now actively quantifying through internal workgroups.

“Respondents repeatedly cited reimbursement challenges as a leading challenge facing their organizations,” said Lance Robinson, managing director and leader of Kaufman Hall’s Operations Improvement Practice, in an interview with Healthcare Finance News.

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