Alarm bells are being sounded in the medical community following the announcement by Australia’s sole national private healthcare provider that it will discontinue maternity services at its private hospitals in Darwin and Hobart.
Healthscope revealed it will cease maternity services at Darwin Private Hospital on April 17, citing a sharp decline in private birth rates, which have plummeted from 700 in 2013 to under 300 in 2024. As the only private maternity provider in the city, the closure means expectant parents will have to travel away from home to utilize their private health insurance.
The company will also shut down maternity services at Hobart Private Hospital on August 20, as it has been unable to recruit sufficiently qualified midwives to staff the maternity ward. This leaves only one private maternity unit operating in Tasmania.
The Australian Medical Association (AMA) president, Dr. Danielle McMullen, expressed concern, stating that many women and expectant parents have reached out, confused about the implications for their upcoming deliveries. “The short notice, especially in Darwin, where there is no alternative private option, is creating significant stress for women at what is already a stressful time,” Dr. McMullen said. “Women in Darwin will either have to deliver at the public hospital or travel long distances to another private facility, away from their familiar care teams and loved ones.”
Dr. McMullen warned that the closures could prompt people to question the value of their private health insurance while putting additional pressure on the public healthcare system. “Australia’s health system relies on a delicate balance between public and private sectors, and it’s essential to maintain patient choice without overwhelming the public system,” she noted.
She also highlighted the need for urgent reforms to ensure the long-term viability of the private healthcare sector, urging for industry-wide changes. The AMA has submitted a request to the Private Health CEO Forum to review the situation, advocating for stable, long-term reform.
Healthscope, which operates 38 hospitals across Australia and employs over 18,000 people, stated in its announcement that the closures were a decision it “wished it didn’t have to make.”