U.S. healthcare spending to top $9 trillion by 2034, federal projections show

U.S. healthcare spending is set to climb to $9 trillion by 2034, representing 20.6% of the economy, according to new federal data (Source: “US health spending set to reach $9T by 2034: CMS report,” Fierce Healthcare, June 24).
 
The Centers for Medicare & Medicaid Services Office of the Actuary this week published its annual projections on national health spending in the journal Health Affairs. The actuaries said that total health spending in 2024 was $5.3 trillion, or about 18% of the U.S. economy.
 
Factors driving spending growth include elevated utilization for medical services and goods, which the analysts expect to continue through 2026 before beginning to taper off. In addition, major legislative changes — including the broad overhaul of Medicaid — will play a key role through 2028.
 
Beyond that point, the actuaries expect a continued shift toward enrollment in public coverage programs, namely Medicare, to contribute to increased spending over the next decade.