UK: Grim diagnosis plagues UK healthcare sector, says CC

An inquiry by the UK’s Competition Commission will look to shatter the anticompetitive practices of the private healthcare market found by the watchdog that have resulted in hundreds of millions of dollars in overpayments to patients every year.

Three of the UK’s largest hospitals are now facing forced divestures of 20 hospitals between them. Reports say the possible repercussions of the industry probe are harsher than expected.

According to the Commission, hospital groups BMI, HCA and Spire made millions in “excess profits” between 2009 and 2011. In a report published Wednesday, the watchdog found the groups to have offered health consultants incentives to refer patients to their hospitals.

According to the probe’s chairman Roger Witcomb, “the lack of competition in the healthcare market at a local level means that most private patients are paying more than they should, either for private medical insurance or for self-funded treatment.”

In response, the healthcare groups slammed the findings. BMI released a statement criticizing the report as one that “ignores financial realities.”

Reports say the three groups have until September 20 to defend their case against the provisional findings.

Full Content: The Independent

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.