Attorney General Rejects Rhode Island Hospital Merger

The proposed merger of the two biggest hospital networks in Rhode Island has been rejected by the attorney general's office. Attorney General Peter Neronha says the merger would give Lifespan and Care New England a virtual monopoly of the health care market.  

“I recognize how critical healthcare is for the State and for every Rhode Islander. The COVID-19 pandemic has only further underscored the vital importance of affordable access to high-quality care for all. Put simply, if this extraordinary and unprecedented level of control and consolidation were allowed to go forward, nearly all Rhode Islanders would see their healthcare costs go up, for health care that is lower in quality and harder to access,” said Attorney General Neronha. 

“Our review clearly established that Lifespan and CNE compete aggressively with each other across many inpatient and outpatient service lines. Eliminating this competition will have the same effects here as seen across the country following mergers of this size: rising healthcare costs, lower quality, and reduced access. The Parties simply have not demonstrated why these results would not happen here and how they would be able to deliver on promised benefits that would outweigh these risks.” 

Lifespan and Care New England call the decision disappointing. The state's largest health care union says it disagrees with AG's decision and the governor's office says it's reviewing the denial.

(Photo by Scott Olson/Getty Images)

Photo: (Photo by Scott Olson/Getty Images)


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