"The rapid and sustained growth in PMI-funded admissions since the pandemic is a clear signal of how dramatically healthcare demand has shifted"
- Brett Hill - Broadstone
Insurance-funded private health admissions reached a record high in the first half of 2025, though data suggests the rapid growth of recent years may be cooling, potentially easing pressure on business healthcare costs.
Analysis of the latest PHIN data from Broadstone reveals there were 338,000 admissions funded by private medical insurance (PMI) in the first six months of 2025. This represents the highest level of admissions ever recorded in a half-year period, marginally exceeding the 336,000 treatments funded by PMI in the same period of 2024.
The figures show a sustained increase compared to pre-pandemic levels. Admissions are up by 17% from the 290,000 PMI-funded treatments registered in the first half of 2019. However, the modest year-on-year growth marks a notable deceleration from the steep rises witnessed in previous periods.
NHS waiting lists have surged over the past five years, climbing from 4.24 million in March 2020 to 7.37 million as of June 2025. Numbers appear to have peaked at around 7.4 million, yet progress in reducing them has been limited.
The decline seems to have stalled in recent months as industrial action once again impacts NHS recovery efforts.
The slowdown in PMI-funded admissions over the past year indicates that claims inflation may now be cooling, according to Brett Hill, head of health and protection at Broadstone.
"The rapid and sustained growth in PMI-funded admissions since the pandemic is a clear signal of how dramatically healthcare demand has shifted," Hill explained. "As the NHS continues to face significant strain, private medical insurance has increasingly stepped in to bridge the gap, ensuring people can access timely diagnoses and treatment that would otherwise be delayed."
"PMI-funded health services are now critical to both the resilience of the nation's healthcare system and the wellbeing of the workforce," Hill noted. "It enables faster treatment of conditions before they become more complex, costly and time-consuming. This is why, alongside its contribution to the wider NHS, PMI represents one of the most valuable investments a business can make to keep their people healthy and productive."
He added that many employers have faced rising benefit costs in recent years. A surge in claims by employees unable to access NHS services has driven up premiums at renewal.
"While self-pay admissions have been plateauing for a while, this year's slowdown in PMI-funded admissions is a welcome sign that claims inflation is beginning to cool," said Hill. "This should help to alleviate some of the upward premium pressure that employers have been feeling, and allow them to refocus on expanding the provision of health benefits across their workforce."
