AHA: Drug price increases, shortages forcing hospitals to tighten their belts

Rising drug prices and shortages are squeezing hospital budgets to the point that a quarter reported cutting staff to mitigate the problem, according to a new report. NORC at the University of Chicago surveyed more than 1,100 community hospitals on behalf of the American Hospital Association and the Federation of American Hospitals and found that average total drug spending per admission increased by 18.5% between fiscal years 2015 and 2017. This spending is in addition to record increases recorded between fiscal years 2013 and 2015, where inpatient drug spending went up by 38%, according to the report.