Germany’s hospital system is facing a deepening crisis, according to a damning new survey by the German Hospital Federation (DKG), highlighting the failure of repeated political interventions to address systemic financial instability. The “Hospital Barometer 2025” revealed by the Redaktionsnetzwerk Deutschland (RND), paints a bleak picture of dwindling resources and a looming threat to patient care.
The survey reveals that a staggering 66% of hospitals reported losses in the past year, a five-percentage-point increase from 2023. Only 34% managed to achieve a surplus or balanced budget. The outlook for 2025 is even more grim, with 70% of hospitals anticipating further losses and only 30% projecting a positive or balanced outcome. Projections for 2026 offer little hope, as a mere 13% expect an improvement in their financial situation, while 44% predict a deterioration and 43% foresee no change.
Gerald Gaß, CEO of the DKG, characterized the findings as “alarming” stating that the financial situation of hospitals has reached a “historic low point” since the introduction of the Diagnosis-Related Group (DRG) payment system over two decades ago. He warned that the widespread deficit risk the very existence of hospitals and severely impede necessary investments in modernization and digitalization.
Gaß’s stark prediction suggests a potential unraveling of the German healthcare infrastructure. He cautioned that the crisis is likely to result in a “waitlist medicine” system-where patients face prolonged delays for treatment-becoming a reality across Germany.
The survey, based on a written response sample of 376 general hospitals with over 100 beds, collected data from mid-May to mid-July 2025. While representing a significant portion of Germany’s hospital network (approximately 22%), critics argue the reliance on written surveys may not fully capture the nuances of operational challenges across the entire sector.
The DKG’s findings intensify the debate surrounding the DRG system and the adequacy of government funding for healthcare. The survey prompts urgent questions regarding the long-term sustainability of the German hospital system and the potential impact on access to vital medical services, further highlighting the political imperative to fundamentally reassess current policy approaches.