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The Independent Member for Clark, Andrew Wilkie, and health policy expert Martyn Goddard discussed the wider healthcare crisis that sits behind the announcement of Healthscope’s receivership

“Healthscope’s difficulties are obviously alarming, especially in Tasmania where the closure of Hobart Private Hospital would be an unmitigated disaster for patients and staff,” Mr Wilkie said. “But in reality, it’s just the tip of the iceberg because private hospitals in Australia are under enormous pressure generally and many have shuttered in recent years. Clearly there is something profoundly unsatisfactory going on and an urgent need for government intervention and deep reform.

“Front and centre among the culprits for this situation is the health insurance industry, which is making enormous profits while at the same time gouging policy holders and under-paying the private hospitals. The Federal Government needs to move quickly to address this, because if it doesn’t then more private hospitals will close, and more patients and staff will suffer. And that will fundamentally compromise health care more broadly because there’s no way the public hospital system is capable of picking up the slack.

“The Federal Government also needs to put a stop to the Americanisation of the health system. If Healthscope has shown us one thing, it’s that corporate self-interest is fundamentally at odds with the sustainable delivery of quality health care for the majority of Australians.”