Hip fractures impact heavily on our health service resources yet there is no recent United Kingdom study detailing hospital costs for such injuries. A comprehensive analysis of 100 patients admitted with a hip fracture was performed to determine current medical expenditure incurred during acute hospitalisation for hip fracture during 2003. Costs associated with surgery (implant and theatre costs) and laboratory/radiological investigations were established from individual use. The mean stay of the study group (mean age 83 years, 77 females and 23 males) was 23 days. The mean total hospital expenditure per patient was calculated to be 12,163 pounds sterling of which ward costs contributed 84%, operative costs 9% and investigations 7%. These results emphasise the growing economic impact arising from the inpatient treatment hip fractures, most of which relate to length of hospital stay.