Health. "Unprecedented" deterioration: public hospital deficit doubles to more than 2 billion euros

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Health. "Unprecedented" deterioration: public hospital deficit doubles to more than 2 billion euros

Health. "Unprecedented" deterioration: public hospital deficit doubles to more than 2 billion euros

Public hospitals experienced an "unprecedented" deterioration in their financial statements in 2023, with an overall deficit that almost doubled to €2.4 billion, according to Drees, the statistical directorate of social ministries.

Public hospital accounts are in the red. Illustrative photo Syspeo/Sipa
Public hospital accounts are in the red. Illustrative photo Syspeo/Sipa

The amount is chilling: the overall deficit of public hospitals will amount to €2.4 billion in 2023. "The very sharp deterioration" in public hospital accounts "is explained in particular by the gradual withdrawal of exceptional support measures to deal with the health crisis," indicates the Drees, the statistical directorate of the social ministries, in its study.

The overall deficit of €2.4 billion represents 2.3% of the institutions' revenues, "a proportion unprecedented since 2005, the starting point of the observations," she adds. On the debt side, the Ségur de la Santé and its measures to restore financial capacity have continued to have an impact, with debt falling to 45% of permanent capital. But "the share of over-indebted institutions is rising again, without returning to its pre-crisis level (36% in 2023 after 34% in 2022 and 41% in 2019)," the experts note.

3.4 billion in 2024?

The DREES (French Department of Economic and Social Affairs) accounts are a benchmark but are always published with a certain delay. For 2024, the French Hospital Federation predicts a further increase in the deficit of public hospitals, which would reach €3.4 billion. As for private, for-profit clinics, the accounts remain generally in the black in 2023, but show signs of deterioration.

The sector reported a total profit of €362 million, which, however, fell sharply to 1.8% of revenue, compared to 3.4% a year earlier. Furthermore, the proportion of loss-making establishments increased, to 32% in 2023, compared to 25% a year earlier.

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