The pandemic has affected the UK private hospital business, a niche real estate development sector aimed at wealthy patients and those with private insurance plans.
While most UK citizens receive medical care from the state-funded National Health Service, private companies, many of which are based in the US, have developed private hospitals with around 1,300 beds in London.
Sales fell because Covid-19 restrictions have severely restricted an important source of demand, according to analysts: patients from Asia, the Middle East and other countries. The decline has raised questions about future development projects.
Healthcare industry participants are now watching the anticipated opening of a 184-bed hospital in a converted Cleveland Clinic office building early next year. The Cleveland, Ohio-based healthcare provider operates in Ohio, Florida, Nevada, Toronto and Abu Dhabi, and this year established a bridgehead in London with an outpatient facility.
Ted Townsend, who writes an annual report on London’s private healthcare sector for business analyst LaingBuisson, said the 14% increase in capacity is likely to lead to oversupply in a time of low demand.
