Bennington
Study of Rural and Urban Hospital Closures Highlights Local Risks
Urban hospitals are closing at roughly the same rate as rural ones, and the shuttered hospitals are more likely to have served communities with high poverty rates and fewer transportation options, according to a new study published Thursday in the journal…
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Key points
- A new Harvard study reveals that urban hospitals closed at a slightly higher rate (9.1%) than rural hospitals (8.3%) between 2010 and 2025.
- Shuttered facilities were disproportionately located in communities with high poverty rates and poor transportation infrastructure.
- Federal spending cuts from the July 2025 One Big Beautiful Bill Act are projected to reduce Medicaid funding by $886.8 billion, posing further risks to safety-net hospitals.
NewsWK — Local residents in Bennington County and nearby Southern Vermont communities rely heavily on stable healthcare. However, a major new hospital closures study reveals a surprising trend. Medical facility shutdowns hit both cities and rural towns at similar rates.
Why Are Rural Hospitals Closing and Shuttling Services?
Rural medical centers face severe financial strain because they have fewer doctors and lower patient numbers. However, Harvard researchers found that urban facilities actually close at a slightly higher rate. Their analysis shows a national net loss of over 24,000 hospital beds between 2010 and 2025.
During this study period, 432 hospitals closed while only 216 opened. The study shows that closures increased by 4% year over year, while new openings decreased by 3% annually.
How Will Medicaid Cuts Hospital Closures Impact Healthcare?
Federal policy changes could soon accelerate these rural and urban hospital closures. In July 2025, congressional Republicans passed the One Big Beautiful Bill Act. This law will cut federal Medicaid spending by an estimated $886.8 billion over the next decade, pressuring safety-net hospitals.
The law does provide $50 billion in rural health grants over five years, but strict limits exist on hospital benefits.
What Does This National Hospital Closures Study Mean for Local Patients?
Local families in Bennington, Hoosick Falls, and Williamstown need reliable emergency care. The study highlights that closed hospitals were more likely to serve counties with high poverty and poor transit. Therefore, losing a local hospital leaves vulnerable residents stranded without easy access to lifesaving medical treatments.
Here are the key findings from the JAMA publication:
- Urban hospitals experienced a 9.1% closure rate.
- Rural hospitals experienced an 8.3% closure rate.
- Approximately 73% of shuttered hospitals closed completely.
- About 27% of closed facilities maintained outpatient services.
Most closures occurred in the Midwest and South. Additionally, states without Medicaid expansion saw higher closure rates.
This article was produced with the assistance of AI and reviewed by our editorial team.
Sources
Related: Rural Maternity Care Vermont Faces Growing Risk as Travel Distances Rise
Related: How Federal Medicaid Provider Payment Cuts Will Impact Local Healthcare Access
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