1. insights
  2. the academy 360
  3. health equity
  4. washington update gao releases study on provider consolidation
Newsletter | the-academy-360

Washington Update: GAO releases study on provider consolidation

Graphic with a blue background featuring the text “Washington Update 360°” alongside The Health Management Academy logo in the bottom left corner.
Related Topics:
Health Equity

The Government Accountability Office (GAO) consolidated and analyzed data from several sources to describe the extent of physician consolidation in the U.S. – including practice ownership by hospital systems, corporate entities, or private equity firms and the effects of different types of physician consolidation on healthcare spending and prices, quality of care, and access. 

As more physician-owned practices merge health systems, hospitals lead the charge. Researchers found that physicians have become increasingly consolidated, with at least 47% of physicians employed by or affiliated with hospital systems in 2024. While proponents of consolidation highlight improved care continuity and efficiency, the GAO additionally cited concerns on healthcare costs and access. Despite the surge, the report notes the lack of research on consolidation’s effect on care access. For health system leaders, the report underscores the need to plan for rising acquisition-driven costs while carefully weighing tradeoffs between efficiency, access, and affordability. 

Access the report and read more at Fierce Healthcare.