Private sector received $2.4 billion of public health funding rise, report says

The private sector received $2.4 billion of the $3 billion increase in public health funding over the past three years, according to a report by Public Futures Aotearoa published on 26 October 2026. That is about 80% of the increase, according to the report.
The report was produced by Public Futures Aotearoa, a coalition that includes NZNO, ASMS and PSA, alongside CICTAR. It says that in 2024/25 the private sector received 46.4% of all public health spending.
Over the same period, publicly delivered healthcare through Health NZ and ACC rose by $600 million, from $14 billion to $14.6 billion.
The report also points to private hospitals. More than $1 billion went to private hospitals for publicly funded surgeries in 2024/25, a 93% growth in the four years to 2025. Public funding made up an estimated 45% of private hospital revenue, up from 35% five years ago. Three entities controlled 70% of private hospital beds, according to the report.
Other sectors show a high share of public funding. Public funding accounted for about 65% of diagnostics and imaging sector revenue and an estimated 76% of aged residential care revenue. Home and community support services received 94% of their revenue from public sources.
General practice is also heavily reliant on public money, according to the report. Public funding accounted for 55% of general practice revenue, up from below 50% in the past two years. An estimated quarter of GPs were owned by corporations in 2026, up from 14% in 2022.


