Tough choices for Far North health services in face of £1m overspend
Register for free to read more of the latest local news. It's easy and will only take a moment.
ALL health services in the Far North will have to be reviewed as staff try to deal with an overspend which is expected to exceed £1 million by the end of the financial year.
“Absolutely everything” has to be looked at, according to Sheena Macleod, the general manager of the North Highland Community Health Partnership.
She also stressed the financial situation is likely to get worse as the health authority faces budget cutbacks in the next few years.
A similar message was delivered at the partnership meeting in Wick on Tuesday by committee chairman Colin Punler who claimed some “potentially unpopular choices” will have to be made in the future and courage will be required to make them.
Also expressing concern about the situation facing the North Highland CHP and the impact it could have on services was Landward Caithness councillor David Flear.
“We have got to have a health service that is fit for purpose and is meeting the community’s needs and aspirations,” he told the John O’Groat Journal. Mr Flear recognised the difficulties local health bosses face and accepted that “everything has to be considered” to address the financial problems.
However, he said the Scottish Government might have to help out as there were cost implications with some of its policies, such as reducing patient waiting times.
Speaking to members this week, Mrs Macleod said a financial break-even plan has been drawn up to identify potential savings which range from £10,000 to £470,000.
They include a reduction in management costs and overtime payments, and a review of all clerical and administration services and current vacancies. Also included is the detailed scrutiny of all expenditure and a redesign of inpatient medical, surgical and rehabilitation services to see if they can be delivered in different ways. The move could result in work coming from outwith the area and help ensure Caithness General is used to “its full potential”.
Mrs Macleod said some of the measures are already under way while others have yet to start.
“Inflation in the health sector is outstripping the growth in funding from the Scottish Government,” stated Mrs Macleod.
“The NHS cannot spend money it does not have and across NHS Highland we are looking at ways in which we can save money while still maintaining a high quality of care for our patients.”
She went on to say that a review of the obstetric and gynaecology service could result in an increased workload at Caithness General Hospital as it may be possible to provide services for people from outwith the North Highland CHP area.
Discussions are taking place with the Orkney Health Board and a meeting is due to take place in December with obstetric consultants, although it is not expected that would result in mothers coming to Caithness to have their ?babies.
Referring to the recovery plan, she said it may have to be carried out over a two-to-three-year period and emphasised that additional savings would have to be made on top of that.
“It is simply the economic climate we are in,” stated Mrs Macleod, who explained that around £17m of the £42m budget is spent on GPs and prescriptions.
Mrs Macleod said people often outline what services they do not want cut but claimed it may be time to suggest what areas could be looked at in the current circumstances.
Mr Punler stressed some “potentially unpopular choices” will have to be made.
“We need to be clear about what we are signing up to and have the courage to see it through,” he said.
Earlier, Ross MacKenzie, the head of finance for the North Highland CHP, said it is expected the organisation will have an overspend of £1,047,000 by the end of this financial year.
He said annual expenditure was due to be £42,733,000 but is now expected to rise to £43,780,000 by March next year.
Mr Mackenzie explained there is a projected overspend of £282,000 in Caithness acute services and £157,000 in east Sutherland. Management costs are estimated to be £160,000 over budget while the local out-of-hours service is estimate to be overspent by £82,000.
NHS Highland was forecast to have an overspend of £5.6m but after management action the health authority is expected to break even by the end of the financial year, he said.
