Public expenditure on the healthcare sector in an ageing society of the European Union

Abstract

PURPOSE: This research analyses regional differences in public health spending in European Union countries, focusing on the impact of an ageing population. By examining Northern, Southern, Eastern, and Western Europe, it assesses how demographic trends and investments in prevention influence health financing and system efficiency. The main objective is to identify regional inequalities and their implications for EU health policy.

DESIGN/METHODOLOGY/APPROACH: A quantitative approach was applied using data from Eurostat, the World Health Organisation, and the Organisation for Economic Co-operation and Development. Key indicators, including the share of the population aged 65+, per capita health expenditure, and the proportion of preventive care in total spending, were analysed. Descriptive statistics, correlation analysis, and Student's t-test were used to evaluate regional differences and relationships between variables.

FINDINGS: The analysis reveals significant disparities in health spending across EU regions. Northern Europe reports the highest per capita expenditure and the largest share of preventive care, indicating a proactive approach to ageing populations. In contrast, Southern and Eastern Europe face financial constraints and lower investment in prevention, both of which affect system efficiency. Correlation analysis confirms a strong positive relationship between preventive care spending and per capita health expenditure. The Student's t-test results show no statistically significant differences in spending levels between regions, suggesting that EU policies promote financial cohesion in healthcare.

PRACTICAL IMPLICATIONS: The study underscores the need to increase investment in preventive care, particularly in underfunded regions, to improve healthcare efficiency. Digital health solutions, including telemedicine, can enhance access to medical services and optimise resource allocation. Additionally, targeted EU financial support and policy adjustments can help mitigate regional disparities in healthcare access.

ORIGINALITY/VALUE: This research provides a comparative analysis of health system financing across EU regions in the context of demographic ageing. It highlights the role of preventive healthcare spending in improving system efficiency and offers policy recommendations to reduce regional inequalities. The findings provide practical insights for policymakers seeking to develop more sustainable and equitable health strategies.