Source: Office for National Statistics

The chart shows the total UK health care expenditure broken down into publicly funded health care expenditure and private, out-of-pocket patient spending on health care. Out-of-pocket patient spending includes health care treatment, private health insurance, treatment in private hospitals, private dental care, purchase of pharmaceutical products and medical devices.

It does not represent spending by the NHS on independent sector providers.

Between 1997 and 2009, health expenditure growth was strong, increasing at an average rate of around six per cent per year. However, since 2009, there have been no real-terms increases. This coincides with the recent recession seen in the private economy, and the related period of public sector austerity.

Publicly funded health care accounts for 83 per cent of total health care expenditure and reached an estimated £127.5 billion in 2013 (represented in 2015 prices, adjusted for inflation). This is a relatively high proportion compared to many other OECD member countries.

The information on publicly funded health care expenditure is provided in Public Expenditure Statistical Analyses (PESA), which provides information on government spending plans and outturn. The report is published annually and covers public spending by department function, category and countries within the UK.

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