To address affordability, policymakers must hold private equity accountable

The 2026 midterm elections sent a clear message: Americans are demanding relief from the rising cost of living, and affordability must be a priority for the new Congress and for new state legislatures.

Private equity firms are contributing to the financial pressures facing working families across the country. Research from the Private Equity Stakeholder Project (PESP) has shown:

• Blackstone raised rents at 66 San Diego apartment properties by an average of 38% in less than three years, nearly double the increase across the local rental market. At one property, rents increased by 79%.
• At a manufactured housing community in Nevada, a resident reported that Carlyle Group raised her monthly lot rent from $685 to $1,010. At another Carlyle-owned community in California, annual rent increases jumped from 3% to 8%.
• BlackRock-owned Minnesota Power is requesting an almost 18% electricity rate increase following the expiration of a one-year rate freeze associated with its acquisition.
• After Michigan’s Upper Peninsula Power Company was acquired by a private equity fund in 2014, it sought rate increases and returned in 2018 seeking nearly $10 million more.
• In Louisiana, Magnolia Water customers have faced nearly annual rate increases since the utility was acquired by a private equity-backed company in 2020, leaving them with the highest sewer rates in the state.
• Blackstone-backed NIPSCO raised residential electricity bills by 26.7% in 2025, following a 17.8% increase in 2024.
• Private equity firms now own 558 hospitals, nearly one in eight private hospitals nationwide, while their expansion into Medicaid-funded healthcare services has raised concerns about billing practices, public spending, and access to care.
• Private equity-owned companies accounted for two-thirds of manufacturing bankruptcies with liabilities exceeding $500 million in 2025. 
• Overall, private equity-backed companies accounted for 50% of the largest U.S. corporate bankruptcies in the first half of 2026, threatening jobs and economic stability in communities across the country.

Below is the statement of Jim Baker, Executive Director of PESP:

“This week, Americans made their voices heard loud and clear: our economy must be rebuilt for working people, not Wall Street. 

“Families are struggling to afford housing, healthcare, and utility bills while private equity firms continue finding new ways to extract profits from the services and businesses Americans depend on.

“Any serious effort to address affordability must include holding private equity firms accountable for driving up costs and putting jobs and essential services at risk. 

“Now, Congress and state legislatures have the opportunity to rein in the private equity industry and its quest to monetize our lives. We look forward to working with policymakers to deliver the bold, comprehensive change Americans demand.”