Washington D.C — New analysis warns that deep Medicaid cuts passed by congressional Republicans will soon put enormous pressure on the health care system millions of Americans depend on. Forbes reports that hospitals are already bracing for nearly $800 billion in Medicaid Cuts over the next decade.
The article highlights how the Republican Medicaid rule is a “dominant near-term threat” that not only hurts the patient, but also acts as a double-edged sword by cutting into the broader hospital and health care system. Thanks to Republicans in Congress, hospitals, particularly nonprofit hospitals that devote themselves to providing a helping hand in America’s health care, could see the financial stability they have worked years to rebuild put at risk.
“As a physician, I see firsthand what these cuts mean beyond the numbers on a balance sheet. When hospitals lose critical Medicaid funding, it becomes harder to maintain the staff, services, and resources our patients depend on everyday,” said Dr. DeShawn Taylor, a board-certified OB/GYN from Phoenix, AZ. “For patients already struggling to access or afford care, that can mean longer waits, fewer services, and greater uncertainty about where they can turn for treatment. When hospitals are forced to do more with less, it is our patients who will feel the consequence the most.”
“Congressional Republicans created a ‘new era of uncertainty’ for hospitals by slashing Medicaid and making it harder for Americans to keep their coverage,” said Unrig Our Economy Campaign Director Leor Tal. “Hospitals should not be forced to absorb the consequences of Republican Medicaid cuts while families risk losing access to care they depend on. Republicans in Congress should reverse these harmful cuts, protect Medicaid coverage, and ensure hospitals have the resources they need to keep their doors open and take care of their communities.”
Forbes: Financial Trouble Ahead For Hospitals Due To Trump’s Big Beautiful Bill
Key Points:
- Cuts imposed by the One Big Beautiful Bill Act that Congress passed a year ago will soon hit U.S. hospitals after relatively strong cash and operating positions of the last five years, a new report shows.
- There’s trouble ahead thanks to the One Big Beautiful Bill Act, legislation also known as HR 1, which President Trump signed into law July 4 of 2025. The legislation imposes new work, eligibility and certification restrictions on Medicaid recipients that is projected to cut nearly $800 billion from the Medicaid health insurance program for poor Americans over the next decade. Those cuts will begin in January 2027.
- But hospitals are already beginning to sound the alarm on Trump policies and other decisions by the Republican-led Congress, which decided against renewing enhanced subsidies for millions of Americans to buy coverage available on exchanges under the Affordable Care Act, also known as Obamacare.
- “We believe that access to healthcare and affordability for Americans begins and ends with health insurance coverage,” HCA Healthcare chief executive officer Sam Hazen told analysts and investors in his opening remarks two weeks ago discussing the company’s second quarter earnings.
- “Most people need support to secure it whether that is through an employer, the federal government or some other means.” With the enhanced subsidies unavailable this year, Hazen said “many people became uninsured and still needed emergency care from hospitals.”
- To be sure, several health insurers are reporting the loss of hundreds of thousands of customers. Centene, in particular, has lost more than two million Obamacare enrollees. Looking ahead to 2027 and beyond, Fitch analysts said the Big Beautiful Bill creates a “new era of uncertainty.”
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About Unrig Our Economy
Unrig Our Economy is a national campaign to fix the rules of our economy to make it work for working people. We know that when the middle class does well, all of us do well — which is why we’re fighting on behalf of working Americans and holding corporations, their wealthy executives, and the politicians who enable them accountable.
