Overview

• The 2024 'Krankenhausbarometer' reveals that 61% of German hospitals reported financial losses in 2023, the highest since the introduction of the flat-rate payment system in 2003.
• A staggering 79% of hospitals anticipate operating at a loss in 2024, with only 10% expecting to achieve a surplus.
• Rising personnel and material costs, coupled with inadequate inflation adjustments and investment funding, are cited as key contributors to the crisis.
• Hospital closures are accelerating, with 24 facilities shutting down in 2024 alone, impacting thousands of employees and reducing access to care in some regions.
• The newly approved hospital reform, set to begin in 2025, aims to alleviate financial pressure by adjusting funding models, though concerns remain over potential service reductions and rural hospital closures.