Kaufman Hall Report: Rising Non-Labor Costs and Payer Denials Squeeze Hospital Margins in 2025

What You Should Know:  – According to Kaufman Hall’s 2025 Health System Performance Outlook, hospitals are facing a “financial trifecta” of rising non-labor expenses, workforce instability, and aggressive payer reimbursement pressures.  – Nearly 60% of health systems reported non-labor cost increases of up to 10%, driven by inflation and tariffs, w...

• Published date: 11-12-2025 05:00 AM