Supreme Court agrees to hear plea against fixed rate for hospitals, seeks Centre's response

The Supreme Court has observed that fixing rates for healthcare facilities will lead to malpractices, saying 'rates are a function of market forces'.

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26 Aug, 2025 12:21

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The Supreme Court has sought a reply from the Centre after it agreed to hear a plea by an association of doctors and hospitals that questioned government's move to prescribe uniform fee for all hospitals.

The matter is now slated for hearing on September 10.

Earlier in February this year, the apex court had directed the central government to specify standard rates for private hospitals, in consultation with states. The Supreme Court also warned of applying Central Government Health Scheme (CGHS) rates for treatment services at private healthcare facilities until standardized rates are set. Subsequently, healthcare providers had written to Health Ministry as well as the court, soon after the SC ruling.

Stock market participants had expressed worries about price regulation for private hospitals after the decision. Hospital associations have said that standardised rates for medical procedures should not be implemented without a proper analysis of costing, requirements and expertise of doctors.

(This story is being updated, please come back for more)