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Do private hospitals outperform public hospitals regarding efficiency, accessibility, and quality of care in the European Union? A literature review

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  • Florien M. Kruse
  • Niek W. Stadhouders
  • Eddy M. Adang
  • Stef Groenewoud
  • Patrick P.T. Jeurissen

Abstract

European countries have enhanced the scope of private provision within their health care systems. Privatizing services have been suggested as a means to improve access, quality, and efficiency in health care. This raises questions about the relative performance of private hospitals compared with public hospitals. Most systematic reviews that scrutinize the performance of the private hospitals originate from the United States. A systematic overview for Europe is nonexisting. We fill this gap with a systematic realist review comparing the performance of public hospitals to private hospitals on efficiency, accessibility, and quality of care in the European Union. This review synthesizes evidence from Italy, Germany, the United Kingdom, France, Greece, Austria, Spain, and Portugal. Most evidence suggests that public hospitals are at least as efficient as or are more efficient than private hospitals. Accessibility to broader populations is often a matter of concern in private provision: Patients with higher social‐economic backgrounds hold better access to private hospital provision, especially in private parallel systems such as the United Kingdom and Greece. The existing evidence on quality of care is often too diverse to make a conclusive statement. In conclusion, the growth in private hospital provision seems not related to improvements in performance in Europe. Our evidence further suggests that the private (for‐profit) hospital sector seems to react more strongly to (financial) incentives than other provider types. In such cases, policymakers either should very carefully develop adequate incentive structures or be hesitant to accommodate the growth of the private hospital sector.

Suggested Citation

  • Florien M. Kruse & Niek W. Stadhouders & Eddy M. Adang & Stef Groenewoud & Patrick P.T. Jeurissen, 2018. "Do private hospitals outperform public hospitals regarding efficiency, accessibility, and quality of care in the European Union? A literature review," International Journal of Health Planning and Management, Wiley Blackwell, vol. 33(2), pages 434-453, April.
  • Handle: RePEc:bla:ijhplm:v:33:y:2018:i:2:p:e434-e453
    DOI: 10.1002/hpm.2502
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    1. Mª Isabel Ortega-Díaz & Ricardo Ocaña-Riola & Carmen Pérez-Romero & José Jesús Martín-Martín, 2020. "Multilevel Analysis of the Relationship between Ownership Structure and Technical Efficiency Frontier in the Spanish National Health System Hospitals," IJERPH, MDPI, vol. 17(16), pages 1-19, August.
    2. Kao, Chiang & Pang, Rui-Zhi & Liu, Shiang-Tai & Bai, Xue-Jie, 2021. "Most productive types of hospitals: An empirical analysis," Omega, Elsevier, vol. 99(C).
    3. Francisco Javier Santos Arteaga & Debora Di Caprio & David Cucchiari & Josep M Campistol & Federico Oppenheimer & Fritz Diekmann & Ignacio Revuelta, 2021. "Modeling patients as decision making units: evaluating the efficiency of kidney transplantation through data envelopment analysis," Health Care Management Science, Springer, vol. 24(1), pages 55-71, March.
    4. Comendeiro-Maaløe, Micaela & Ridao-López, Manuel & Gorgemans, Sophie & Bernal-Delgado, Enrique, 2019. "A comparative performance analysis of a renowned public private partnership for health care provision in Spain between 2003 and 2015," Health Policy, Elsevier, vol. 123(4), pages 412-418.
    5. José M. Cordero & Agustín García-García & Enrique Lau-Cortés & Cristina Polo, 2021. "Efficiency and Productivity Change of Public Hospitals in Panama: Do Management Schemes Matter?," IJERPH, MDPI, vol. 18(16), pages 1-21, August.
    6. Winter, Vera & Thomsen, Mette Kjærgaard & Schreyögg, Jonas & Blankart, Katharina & Duminy, Lize & Schoenenberger, Lukas & Ansah, John P. & Matchar, David & Blankart, Carl Rudolf & Oppel, Eva & Jensen,, 2019. "Improving Service Provision - The Health Care Services' Perspective," SMR - Journal of Service Management Research, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 3(4), pages 163-183.
    7. Levaggi, Laura & Levaggi, Rosella, 2020. "Is there scope for mixed markets in the provision of hospital care?," Social Science & Medicine, Elsevier, vol. 247(C).
    8. Dongxu Li & Min Su & Xi Guo & Weile Zhang & Tianjiao Zhang, 2022. "The Effect of Medical Choice on Health Costs of Middle-Aged and Elderly Patients with Chronic Disease: Based on Principal-Agent Theory," IJERPH, MDPI, vol. 19(13), pages 1-14, June.
    9. Anita Golovkova, 2020. "IFRS implementation in healthcare facilities in the United Kingdom: (un)intended effects [Implementace IFRS ve zdravotnických zařízeních ve Velké Británii – (ne)zamyšlené dopady]," Český finanční a účetní časopis, Prague University of Economics and Business, vol. 2020(3-4).
    10. Feng, Wei & Yuan, Hang, 2023. "The impact of medical infrastructure on regional innovation: An empirical analysis of China's prefecture-level cities," Technological Forecasting and Social Change, Elsevier, vol. 186(PA).
    11. Belfiore, Alessandra & Cuccurullo, Corrado & Aria, Massimo, 2022. "Financial configurations of Italian private hospitals: an evolutionary analysis," Health Policy, Elsevier, vol. 126(7), pages 661-667.
    12. Ricardo Ocaña-Riola & Carmen Pérez-Romero & Mª Isabel Ortega-Díaz & José Jesús Martín-Martín, 2021. "Multilevel Zero-One Inflated Beta Regression Model for the Analysis of the Relationship between Exogenous Health Variables and Technical Efficiency in the Spanish National Health System Hospitals," IJERPH, MDPI, vol. 18(19), pages 1-18, September.
    13. Comendeiro-Maaløe, Micaela & Ridao-López, Manuel & Gorgemans, Sophie & Bernal-Delgado, Enrique, 2019. "Public-private partnerships in the Spanish National Health System: The reversion of the Alzira model," Health Policy, Elsevier, vol. 123(4), pages 408-411.
    14. Anita Golovkova, 2020. "IFRS implementation in healthcare facilities in the United Kingdom: (un)intended effects [Implementace IFRS ve zdravotnických zařízeních ve Velké Británii - (ne)zamyšlené dopady]," Český finanční a účetní časopis, Prague University of Economics and Business, vol. 2020(3-4), pages 53-70.
    15. Cuoghi, Kaio Guilherme & Leoneti, Alexandre Bevilacqua & Passador, João Luiz, 2022. "On the choice of public or private management models in the Brazilian Unified Health System (SUS)," Socio-Economic Planning Sciences, Elsevier, vol. 84(C).

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