The Role of Private Equity In Health Care

<p>Late last month, the White House called out private equity firms in a <a href="https://www.whitehouse.gov/briefing-room/statements-releases/2022/02/28/fact-sheet-protecting-seniors-and-people-with-disabilities-by-improving-safety-and-quality-of-care-in-the-nations-nursing-homes/">fact sheet on the safety and quality of nursing homes</a>.</p><p>"Private equity firms have been buying up struggling nursing homes, and research shows that private equity-owned nursing homes tend to have significantly worse outcomes for residents," the fact sheet reads, adding that "Private equity firms’ investment in nursing homes has ballooned from $5 billion in 2000 to more than $100 billion in 2018, with about 5% of all nursing homes now owned by private equity firms." </p><p>Listen to Health Affairs' Kathleen Haddad and Rob Lott discuss the role of private equity in health care service lines.</p><p><strong>Related Links:</strong></p><ul> <li> <a href="https://www.whitehouse.gov/briefing-room/statements-releases/2022/02/28/fact-sheet-protecting-seniors-and-people-with-disabilities-by-improving-safety-and-quality-of-care-in-the-nations-nursing-homes/">FACT SHEET: Protecting Seniors by Improving Safety and Quality of Care in the Nation’s Nursing Homes</a> (White House)</li> <li> <a href="https://www.healthaffairs.org/doi/10.1377/hlthaff.2020.01535?utm_medium=podcast&amp;utm_source=this+week">Private Equity Investments In Health Care: An Overview Of Hospital And Health System Leveraged Buyouts, 2003–17</a> (<em>Health Affairs</em>)</li> <li> <a href="https://www.healthaffairs.org/doi/full/10.1377/hlthaff.2021.01115?utm_medium=podcast&amp;utm_source=this+week">Hospital Service Offerings Still Differ Substantially By Ownership Type</a> (<em>Health Affairs</em>)</li> <li> <a href="https://www.healthaffairs.org/doi/full/10.1377/hlthaff.2021.00541?utm_medium=podcast&amp;utm_source=this+week">Private Equity Acquisition And Responsiveness To Service-Line Profitability At Short-Term Acute Care Hospitals</a> (<em>Health Affairs</em>