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World Health Systems Facts

UK: Health System Financing


Out-of-pocket expenditure (OOP) per capita in US$, 2022: $669.17

Source: Global Health Observatory. Out-of-pocket expenditure (OOP) per capita in US$. Geneva: World Health Organization. Last accessed Jan. 23, 2025.


Out-of-pocket expenditure as percentage of current health expenditure (CHE) (%), 2022: 13.29%

Source: Global Health Observatory. Out-of-pocket expenditure as percentage of current health expenditure (CHE) (%). Geneva: World Health Organization. Last accessed Jan. 23, 2025.


Domestic private health expenditure (PVT-D) as percentage of current health expenditure (CHE) (%), 2022: 16.92%

Source: Global Health Observatory. Domestic private health expenditure (PVT-D) as percentage of current health expenditure (CHE) (%). Geneva: World Health Organization. Last accessed Jan. 23, 2025.


Domestic general government health expenditure (GGHE-D) as percentage of current health expenditure (CHE) (%), 2022: 83.07%

Source: Global Health Observatory. Domestic general government health expenditure (GGHE-D) as percentage of current health expenditure (CHE) (%). Geneva: World Health Organization. Last accessed Jan. 23, 2025.


Domestic general government health expenditure (GGHE-D) as percentage of gross domestic product (GDP) (%), 2022: 9.18%

Source: Global Health Observatory. Domestic general government health expenditure (GGHE-D) as percentage of gross domestic product (GDP) (%). Geneva: World Health Organization. Last accessed Jan. 23, 2025.


Population with household expenditures on health > 10% of total household expenditure or income (%), 2015-2021: 2.36%
Population with household expenditures on health > 25% of total household expenditure or income (%), 2015-2021: 0.56%
Domestic general government health expenditure (GGHE-D) as percentage of general government expenditure (GGE) (%), 2022: 20.67%

Source: World health statistics 2025: monitoring health for the SDGs, Sustainable Development Goals. Tables of health statistics by country and area, WHO region and globally. Geneva: World Health Organization; 2025. Licence: CC BY-NC-SA 3.0 IGO.


Health expenditure by type of financing, 2021
– Government schemes: 83%
– Compulsory health insurance: 0%
– Voluntary health insurance: 2%
– Out-of-pocket: 13%
– Other: 2%
Out-of-pocket spending on health as share of final household consumption, 2021: 2.7%
Price levels in the healthcare sector, 2021 (OECD average = 100): 101
Expenditure on retail pharmaceuticals by type of financing, 2021:
– Government/compulsory schemes: 65%
– Voluntary health insurance schemes: 0%
– Out-of-pocket spending: 35%
– Other: 0%

Source: OECD (2023), Health at a Glance 2023: OECD Indicators, OECD Publishing, Paris, doi.org/10.1787/7a7afb35-en.


Annual household out-of-pocket payment in current USD per capita, 2021: $693

Source: Global Health Expenditure Database. Health expenditure series. Geneva: World Health Organization. Last accessed May 13, 2023.


“As noted above, public financing, collected through general taxation, is the primary source of funding for health in the United Kingdom. The three largest taxes, which account for approximately two thirds of revenue, are income tax, national insurance contributions and value-added tax. The United Kingdom announced in 2021 a health and social levy, which from 2022/2023 would be funded by a 1.25% increase in national insurance contributions (UK Government, 2021h). Once revenue is collected by Her Majesty’s Revenues and Customs (HMRC), it is distributed by HM Treasury to the DHSC in England and the devolved administrations according to the Barnett formula (Fig. 3.6). The DHSC then allocates funding to NHS England and arm’s-length health agencies (see Section 3.3.3, Pooling and allocation of funds). In England, the specifics of these arrangement are currently the subject of proposals for legislative reform. Alongside public financing, private sources of funding for health care come mostly from a combination of private medical insurance (see Section 3.5, Voluntary health insurance, for more information) and out-of-pocket payments in the form of co-payments and direct payments (see Section 3.4, Out-of-pocket payments, for more information). Co-payments are costs shared with the NHS, and can include dental care and, in England, outpatient prescription charges. Direct payments can include private treatment, social care, general ophthalmic services and over-the-counter medicines.”

Source: Anderson M, Pitchforth E, Edwards N, Alderwick H, McGuire A, Mossialos E. The United Kingdom: Health system review. Health Systems in Transition, 2022; 24(1): i–192.


“Nearly all public funds are sourced from taxes, collected by HMRC, the three largest being, income tax (26% of revenue), national insurance contributions (19% of revenue), and value-added tax (18% of revenue) (Adam, 2019). This financing system has been shown to be progressive overall (Box 3.2). Collecting funds via general taxation means that the cost of collection is low; however, so is the degree of transparency in how individual payments are linked to individual benefits. Scotland, Wales and Northern Ireland receive funding from HM Treasury in block grants determined by the Barnett formula (see Section 3.3.3, Pooling and allocation of funds). However, since devolution, the United Kingdom Parliament has passed legislation granting the devolved administrations increasing autonomy in their tax raising powers (Institute for Government, 2021). For some time, these were not used. However, in recent years they have resulted in small differences in stamp duty rates in Wales and Scotland, and most notably in income tax rates in Scotland (Institute for Government, 2021).”

Source: Anderson M, Pitchforth E, Edwards N, Alderwick H, McGuire A, Mossialos E. The United Kingdom: Health system review. Health Systems in Transition, 2022; 24(1): i–192.


“NHS dental care carries a charge throughout the United Kingdom, although exemptions exist for certain populations. In England, a three-tiered charging bands system exists to cap charges for NHS dental care dependent on the complexity of the treatment received (Table 3.4). As of 2020/2021, Band 1 treatments cost £23.80, and include examination, diagnosis and advice. Band 2 treatments cost £65.20, and cover additional treatments such as fillings, root canal treatment and tooth extractions. Band 3 treatments cost £282.80, and including complex procedures such as crowns, dentures and bridges (NHS England, 2021i). Wales also uses a three tiered charging bands system, although with slightly lower charges than in England (Welsh Government, 2021c). As of 2020/2021, there is no tier system in Scotland and Northern Ireland, and instead patients pay up to 80% of the cost of their specific treatments up to a maximum of £384 per course of treatment.”

Source: Anderson M, Pitchforth E, Edwards N, Alderwick H, McGuire A, Mossialos E. The United Kingdom: Health system review. Health Systems in Transition, 2022; 24(1): i–192.


UK: Health System Financing - National Health Service - World Health Systems Facts

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World Health Systems Facts is a project of the Real Reporting Foundation. We provide reliable statistics and other data from authoritative sources regarding health systems and policies in the US and sixteen other nations.

Page last updated June 12, 2025 by Doug McVay, Editor.

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