Is Wall Street Taking Over Veterinary Medicine?

The most catastrophic two words any veterinary professional hears is economic euthanasia. It’s clear that economic euthanasia and pet relinquishment to animal shelters for financial reasons are increasing, at least in part because of the escalating costs of veterinary care.

So, why have costs of veterinary medicine gone through the roof, exceeding inflation by roughly 90 percent over the past six years? Since 2020, veterinary service prices have increased about 50 percent, while overall inflation has been about 26 percent, according to the U.S. Bureau of Labor Statistics. In other words, veterinary inflation has been nearly twice the overall inflation rate.

The most significant explanation is is the takeover of private equity. Today, approximately 30 to 35 percent of companion animal veterinary practices are owned by corporate groups, many backed by private equity, while 65 to 70 percent do remain independently or family owned. Among specialty and emergency practices, corporate ownership is even higher at about 75 percent.

This video from More Perfect Union does an excellent job explaining how this consolidation has transformed veterinary medicine and why it matters to pet owners.

Even U.S. Senator Elizabeth Warren (D–Massachusetts) – regardless of your politics—has raised concerns about the consolidation of veterinary medicine and its impact on prices and consumer choice.

There is nuance here mostly going unmentioned in these videos. Other factors affecting affordability include more Americans living paycheck to paycheck and therefore affordability is really more than a buzzword.

During the pandemic, Americans adopted pets at record levels, creating many households with three or four pets. Of course, affording veterinary care for one or two dogs is easier on the wallet than caring for three or four.

Tariffs are responsible for some cost increases, particularly for imported pharmaceuticals, medical supplies, equipment, and some pet foods. Labor costs have gone up as well.

Another real and positive explanation is veterinary medical technology. Even compared to just five years ago, veterinary medicine has advanced dramatically with more sophisticated diagnostics and new treatments. However, cutting-edge medicine comes with increased costs, and some may be significant and may or may not be covered by pet insurance.

You might expect pet insurance enrollment to be skyrocketing. Pet insurance policies have about doubled since 2020, though those insured remain only about four percent of dogs cats.  While pet insurance does continue to gradually grow, premiums have also increased significantly. Many families simply cannot afford the monthly costs particularly in multi-pet homes. Others choose to self-insure, hoping their savings will be sufficient if a medical emergency occurs.

In many cases, wellness plans offered through veterinary practices provide a practical alternative by spreading preventive care costs throughout the year and encouraging wellness visits.

Overall, routine wellness examinations are declining while telehealth is increasing. When telehealth is provided by your own veterinarian—someone who has an established veterinarian-client-patient relationship and access to your pet’s complete medical history—it can be an excellent tool. However, that’s not the case when telehealth providers who have never examined your pet, cannot perform a physical examination, collect diagnostic samples, or review a complete medical history. But it’s alluring since it is less expensive than an in-person visit and more convenient. What people may not know is that increasingly, some telehealth companies are also owned or backed by private equity. So, there’s no escaping.

The purpose of routine wellness examinations is to catch illness early, often before pets show obvious clinical signs. Early diagnosis can reduce treatment costs, improve quality of life, and substantially improve the prognosis.

The Veterinary Hospital Managers Association (VHMA) January 2026 KPI Commentary reports that patient visits declined 3.1percent in 2025, the third consecutive year of declining visits, while revenue increased primarily because of higher prices rather than more patients. It also notes that many owners are delaying routine care because of affordability concerns.

For some failing practices, takeover is a good thing – providing resources for practices to stay afloat and even to thrive. Large corporate may also afford equipment which otherwise a practice could never purchase. Of course, typically clients wind up paying for the cost of equipment in the long run.

The bottom line is that while pet owners are paying a lot more, veterinarians and veterinary technicians continue to struggle with fatigue and burnout, and too many pets are receiving delayed—or no—care because families simply can’t afford. Meanwhile, the largest corporate veterinary groups continue to expand (though more gradually than in the past few years) through acquisition. So far, the trend has not benefited anyone except the corporate groups.