GAO - Government Accountability Office

09/24/2025 | News release | Distributed by Public on 09/24/2025 05:48

Why are Urban Hospitals Closing and What Happens After They Do? Image

Even in areas with multiple hospitals, hospital closures can negatively impact access to care. This is especially true when the closure reduces access to emergency and specialty services. For example, some of the closed hospitals we looked at provided time-sensitive, lifesaving services-such as obstetrics, heart surgery, or emergency care. After they closed, patients often had to travel farther, and nearby hospitals became overcrowded.

What happened to the five urban hospitals after they closed? Two converted into outpatient facilities. The other three shut down completely, ending all health services.

In some communities, local efforts helped fill the gaps. For example, access shifted to different settings or providers in communities where the two hospitals converted:

  • One closed hospital became a standalone emergency department.
  • Another closed hospital introduced urgent care to replace its emergency department.
  • Nearby hospitals also increased their capacity by adding more beds or services.

In some communities where hospitals closed completely, there was a reduction in available health care services. Community members also told us that they received limited advance notice, in some cases leaving residents with little time to prepare for the closures. In communities already grappling with access challenges, closures may have exacerbated long-standing issues with getting needed health care.

With that said, each community is different. And the impact of these closures may vary. Most of the hospitals we looked at were considered "safety-net" hospitals and served low-income and racially diverse inner-city neighborhoods. Many residents in these communities already face barriers accessing care. For example, some residents lacked adequate transportation to reach alternative hospitals or clinics or were not aware of other providers, further complicating their ability to access necessary and timely care.

You can learn more about hospital closures and their impacts by checking out our new report. These challenges are not unique to urban hospitals. Many rural hospitals face similar issues. Check out our 2023 blog to learn more.

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