German States Clash Over Controversial Hospital Reform

The recently approved hospital reform faces criticism for financial risks, regional impacts, and lack of clarity on implementation.

The German Bundesrat has approved a contentious hospital reform aimed at restructuring hospital financing and operations, including a shift from case-based payments to specialized service groups.
Critics, including the Brandenburg Medical Association and the CDU/CSU, warn the reform could lead to financial instability for many hospitals, especially in rural areas, without interim support measures.
The reform has sparked political turmoil in Brandenburg, where Minister-President Dietmar Woidke dismissed his Green Party health minister over disagreements on the state's voting stance in the Bundesrat.
CDU health expert Tino Sorge has pledged to amend the reform if the Union wins the February 2025 federal election, emphasizing the need for regional flexibility and transitional funding for struggling hospitals.
The reform's long-term effects remain uncertain, with concerns over potential hospital closures, unresolved funding issues, and ongoing disputes over its economic and constitutional implications.