A new not-for-profit organisation will be created to operate 31 Healthscope hospitals, and another five will be sold to existing hospital operators, the receivers of Healthscope, McGrathNicol Restructuring, has announced.
McGrathNicol Restructuring said the organisation would be the largest not-for-profit private hospital operator in Australia, providing stability to Australia’s hospital system.
It said the plan offered an opportunity for all hospitals to avoid closure, providing continuity of care and job certainty for more than 18,000 hospital workers.
Healthscope’s 37 hospitals employ more than 100 ENT surgeons.
In a media release on 6 February 2026, McGrathNicol Restructuring announced “a comprehensive plan to secure the future for all Healthscope hospitals, providing clarity of direction and reassurance to Healthscope patients, employees and local communities around Australia”.
McGrathNicol Restructuring said the plan included:
- The creation of a new not-for-profit organisation to operate 31 hospitals, expected to be operational by mid 2026.
- The sale and transfer of operations of five hospitals to well established and respected hospital operators.
- The transfer of operations of Northern Beaches Hospital to the NSW Government.
Not for profit portfolio
McGrathNicol Restructuring said Healthscope’s lenders had rejected an offer for the Prince of Wales Private Hospital “in favour of supporting a holistic solution” to transition the operation of 31 Healthscope hospitals, including Prince of Wales, to a new, not-for-profit organisation.
“The transition of this significant portfolio of hospitals to a well-capitalised not-for-profit organisation, operating in accordance with its care-focused charitable purpose, would support the long-term sustainability of the private healthsector in Australia, taking pressure off the public health system,” McGrathNicol Restructuring said.
“The non-denominational charitable structure will ensure surpluses are reinvested back into hospitals to support excellent patient care and choice, employee engagement and wellbeing, and the continued provision of market leading healthcare services.”
It said the plan had broad support across the Healthscope workforce with most employees already having voted to share salary packaging benefits to support the viability of the new organisation.
All hospital employees transitioning to the new organisation would have continuity of employment and full recognition of service and their existing terms and conditions.
The Australian Charities and Not-For-Profit Commission approved an application to register not-for-profit entities associated with the plan as charities in October 2025.
The plan includes the appointment of well credentialed independent directors over coming months to oversee establishment of the new organisation and provide ongoing clinical and purpose-focused governance.
Mr Tino La Spina, Healthscope CEO, said: “This is a transformative day for our people, our doctors, our patients and the Australian healthcare sector. Our whole organisation has been galvanised by the idea of transforming Healthscope into Australia’s largest not-for- profit hospital operator, reinvesting surpluses back into our hospitals and people to continually improve patient care.”
Speaking on behalf of the receivers and managers Mr Keith Crawford said: “We are pleased we can now provide a clear direction to Healthscope patients, employees and communities about the future of their local hospitals.
“This has been a complex process involving a large number of assets across multiple jurisdictions, and detailed negotiations with many stakeholders. We believe the plan announced today for the Healthscope portfolio is in the best interests of all stakeholders, preventing hospital closures and protecting jobs.”
Sale portfolio
Agreements were reached for the sale and transfer of operations for five Healthscope hospitals to well established and respected hospital operators:
- National Capital Private Hospital in Canberra will be sold to Ramsay Health
- Hobart Private Hospital and Holmesglen Private Hospital in Melbourne will be sold to Calvary Health.
- Gold Coast Private Hospital will be sold to Mater Health
- Tweed Day Surgery was sold to Day Hospital Partners in October 2025.
The receivers agreed with the Northern Beaches Hospital in Sydney transferring to public ownership via the NSW Government.
Each agreement provides for continuity of employment and service for employees at each hospital.
A list of Healthscope hospitals in each state can be found here.
There are 13 in Victoria, 12 in NSW, five in Queensland, four in South Australia, and one each in Tasmania, the ACT, the Northern Territory and Western Australia.
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