US healthcare spending neared $5 trillion in 2023, government report says

NEW YORK (Reuters) -U.S. healthcare spending rose by 7.5% to $4.9 trillion in 2023, driven by increased use of medical services as enrollment climbed for private health plans, particularly those under the Affordable Care Act, the Centers for Medicare and Medicaid Services said in a report on Wednesday. The agency, which oversees Medicare plans for people aged 65 and older or with disabilities, said healthcare spending outpaced U.S. economic growth. Spending on retail prescription drugs had the biggest increase, rising 11.4% to $449.7 billion after a 7.8% rise in 2022, largely due to the use of weight-loss and diabetes drugs, a CMS official said during a press briefing.