The government’s comprehensive spending review included a 0.4% increase in NHS spending over the next four years – but the impact on local services in Blackburn with Darwen won’t be known until the end of the year.
In December, the Department of Health will publish a document known as the operating framework that will set out priorities for spending in 2011/12 and at the same time we will find out about the level of funding we will receive in 2011/12 including the inflationary increases in the tariffs or prices we pay our providers. We will then be able to draw up our detailed budgets for the next financial year.
What we do already know, however, is that while the NHS is not facing cuts like other public sector organisations, this small increase in health spending is not enough to meet our rising costs.
The cost of delivering health services is rising faster than the rate of inflation due to more expensive medicines and a significant increase in demand for services. This means that Blackburn with Darwen Care Trust Plus, like all other NHS organisations, will have to make substantial savings in 2011/12 and beyond to meet its share of an estimated £20bn spending gap nationally.
We have anticipated this by preparing for a minimal increase in budget in our medium term financial plans and reducing expenditure by £8.9m this year through improving efficiency, reducing management costs, negotiating better prices and reducing duplication. It has been a challenge, but by doing all the hard work now we will avoid significant problems in the years to come.
We will ensure that we will focus our resources on key priorities, but inevitably, some other services will have to stop or be reduced in order to protect frontline services and if this happens, we promise to keep you informed.
We will continue to make savings through making services more efficient, by reducing duplication, working in partnership with other health organisations & the Council and reducing unnecessary costs. For example, our Script Switch scheme helps GPs to find generic medicines that do exactly the same job as more expensive branded drugs, but cost less.
The Care Trust Plus and the Council are holding a community voices event to give details of the challenges ahead for the public sector and changes needed to make the most of less Government funding.
The tough times, tough choices event will take place on Monday, November 8 at King George's Hall, Blackburn, 6pm to 7:30pm.
The chair of the trust, Sir Bill Taylor, and Councillor Kate Hollern, leader of the Council, will lead the event.
More information about health budgets for Blackbrun with Darwen will appear in future editions of The Shuttle.
For more information, please see the interview below with Sir Bill Taylor, taken from the last edition of The Shuttle.