Fine Gael TD Joe McHugh has said that the new ‘projections’-based national system for allocation of hospital budgets, rewards Letterkenny and other hospitals that continuously deliver more and improved services for patients.
Speaking following the allocation of €100.4m to Letterkenny General Hospital for 2013, Deputy McHugh said: ”The National Service Plan for 2013 is basing hospital budgets for the year on projected spend rather than on historic budgets. Letterkenny was allocated €93m for 2012 which overran to 104.6m; this year the hospital’s budget allocation has been increased by 7% to €100.4m.
“2013 will not be a walk in the park for Letterkenny Hospital management, given the fact that it cost €104.6m to run the hospital last year. The HSE nationally has indicated that there is a potential to make €3m savings at Letterkenny General Hospital this year as a result of new national initiatives; however this may be too ambitious.
“I will be seeking a breakdown in these savings that pertain to Letterkenny General Hospital. I have spoken with Hospital management about services for 2013. Consultants’ contracts and health insurance are areas where efficiencies may be found. This 7% increase on the budget that was allocated to the hospital for last year, gives hospital management an opportunity to plan services rationally, rather than constantly having to focus on over-runs.
“I have been calling since 2007 for a budgetary allocation system that would reward hospital performance and ambition. It makes sense to have a budgeting system that allocates towards hospitals such as Letterkenny General Hospital that deliver more and better services for patients. Efficiencies achieved by Letterkenny General Hospital in 2012 include a reduction in the average length-of-stay for patients from 8.6 days (average) to 5.3 days (average). The Hospital’s Joint Replacement team delivered 153% of the joint replacement procedures that had been targeted for 2012. I believe that the message of Letterkenny General Hospital delivering more has been pivotal in achieving this new national approach towards hospital budgets.”