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Government Underspends by £1.8bn on NHS

November 27, 2007 5:15 PM

News that the Government is underspending on its NHS budget by £1.8bn, and that Yorkshire & Humber Strategic Health Authority is heading for a £280 million surplus this financial year, calls into question the Government's handling of the NHS. The Treasury is underspending by almost 2 per cent of the money reserved for the NHS.

Cllr Sue Galloway, Executive Member for Adult Social Services in York, said,

"The last year has seen 200 jobs disappear at York District Hospital, cuts to services and the North Yorkshire and York PCT has seen fit to convene an Exceptions Panel for those waiting for treatment. Residents should rightly be asking why it is that with this level of surplus the Department of Health is still insisting that the Primary Care Trust pays back its historic debt of £35 million.

"In York the Liberal Democrat Executive have some potentially exciting plans for working together with the PCT but because of its financial situation it is likely that these plans will take longer to deliver".

North Yorkshire and York PCT is also being asked to pay an additional £13 million to the Strategic Health Authority. All PCTs in the area had their budget "top sliced", to be redistributed to those PCTs with areas of greatest deprivation and yet these are the very areas which have ended up with massive underspends

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