German Hospitals Demand Political Summit Amidst 1.8 Billion Euro Funding Cuts
German hospitals warn of severe impacts on patient care due to planned 1.8 billion euro funding cuts and call for a political crisis summit amid broader social security reform debates.
- • German government plans 1.8 billion euro cuts in hospital funding for 2026 to control GKV costs.
- • Deutsche Krankenhausgesellschaft warns cuts and reforms threaten patient care and healthcare staff.
- • Hospitals to receive 4 billion euros via special fund to cover past operational cost gaps.
- • Psychiatric care also at risk due to reduced budgets, warns DGPPN.
- • Peer Steinbrück advocates fundamental social security reform to modernize and digitize the system.
Key details
Germany's hospitals are facing a severe financial crisis following government plans to cut approximately 1.8 billion euros from hospital funding as part of efforts to stabilize statutory health insurance (GKV) costs for 2026. This move, part of a broader budget cut totaling around two billion euros, has raised alarm among hospital officials who fear it could trigger a "cold structural change" in the healthcare sector, negatively impacting patient care and staff conditions.
The Deutsche Krankenhausgesellschaft (DKG) has strongly criticized the government's approach, highlighting that increased regulations and ineffective policies are placing hospitals under intense pressure. The DKG warns that the combined effect of these cuts and planned hospital reforms threatens to reshape Germany's healthcare landscape in ways detrimental to patients and healthcare workers alike. Consequently, the DKG has called for a crisis summit to address the future framework of hospital financing and ensure a structured transformation process.
In response to growing financial strains, hospitals will receive an additional four billion euros to offset operational cost shortfalls from previous years, financed through a special infrastructure fund. However, concerns extend beyond general hospital services: the Deutsche Gesellschaft für Psychiatrie und Psychotherapie (DGPPN) has cautioned that these budget reductions could exacerbate existing challenges in psychiatric care, adversely affecting mental health patients.
Adding to the discourse on social welfare reform, former SPD finance minister Peer Steinbrück has emphasized the necessity of overhauling Germany's social security systems, including healthcare. Steinbrück criticized the complexity of the current system and called for modernization and digitization. He warned that without fundamental changes, Germany's social state risks becoming a “social case.” His critique includes political parties such as the Greens and Left, which he blames for the system's deterioration. Steinbrück's reform concepts, aimed at establishing a "capable state," align with some plans in the current coalition agreement.
The unfolding funding crisis and political calls for reform underscore mounting challenges within Germany's healthcare and social welfare systems. Hospitals demand immediate political engagement to secure sustainable financing structures and protect patient care amidst tightening budgets.