Irish Daily Mail

‘Shock’ in HSE at St John of God’s plan to shut over funding

- By Helen Bruce helen.bruce@dailymail.ie

A WAR of words has broken out between the HSE and one of the State’s largest providers of mental health and disability services, after the latter claimed it was forced to close and hand over its operations due to a lack of funding.

Yesterday, Saint John of God Community Services (SJOGCS) – which has been dogged by allegation­s of financial mismanagem­ent in recent years – said it would transfer all services for its 8,000 users to the HSE later this year, blaming a €30million funding shortfall.

It said there had been a ‘failure to conclude a funding agreement with the HSE’.

However, the HSE has said that it is ‘shocked and disappoint­ed’ by the announceme­nt, claiming there is ‘no reason to transfer service’, as it called on SJOGCS to ‘reengage’ on funding.

HSE chief executive Bernard Gloster said the organisati­on had ‘more than enough money’ to continue, adding it was not ‘appropriat­e or responsibl­e’ for SJOGCS to declare it was handing over its services.

‘If, despite substantia­l assistance in a €200million grant to SJOGCS annually, they remain insistent on withdrawin­g from service provision, then we will require them to do so in an orderly and appropriat­e fashion, having regard to the rights of service users and their staff,’ Mr Gloster said. In a letter to the SJOGCS board, he also expressed his ‘absolute shock’ at what he described as ‘the anxiety being unnecessar­ily caused to many people’, RTÉ reported.

Mr Gloster stated: ‘I would have thought an organisati­on of SJOG’s stated ethos and values could distinguis­h between a complex process between organisati­ons and the vulnerabil­ity of the people we are all paid to serve’.

He said the HSE would have ‘no alternativ­e’ but to respond to the ‘very misinforme­d public narrative’.

A spokeswoma­n for the HSE said it was ‘shocked and disappoint­ed’ at the announceme­nt and ‘the manner in which they have chosen to communicat­e that to families’. She said the group has broken even ‘each year for several years, with the help of substantia­l HSE support, and there is no reason to believe 2024 will be any different’.

She added: ‘As recently as February 15, the HSE CEO set out an extensive financial package to the SJOG.’ Health Minister Stephen Donnelly said the HSE, Department of Health and Department of Children, Equality, Disability, Integratio­n and Youth had engaged ‘in good faith’.

‘I would encourage all sides to continue that process,’ he said. Clare Dempsey, SJOGCS chief executive, said it was a heartbreak­ing day for the organisati­on, which works in 300 locations across Dublin, Kildare, Kerry, Wicklow, Meath, Monaghan and Louth.

‘Today represents the saddest day in the history of our long-establishe­d service, which has been in operation since the 1930s,’ she said.

We will do all in our power to conduct a smooth transfer of service to [the] HSE and will seek to minimise the impact on the 8,000 people availing of our services, as well as our 3,000 valued staff.’

Ms Dempsey said St John of God’s difficulti­es could be traced back as far as the period of austerity which followed the banking crisis.

‘During that time our funding was cut very significan­tly,’ she said. ‘The funding we lost was never replaced.’ The SJOGCS told the HSE last month that if it did not secure a bailout of more than €30million, it would have to shut.

In late 2022, whistleblo­wer Shane Corr told The Irish Mail on Sunday that a €1.6million hole in a pension fund for St John of God employees was kept secret from them. Mr Corr told the Irish Daily Mail yesterday: ‘I made protected disclosure­s about the St John of God’s group 14 months ago. Alas, my worst fears have come to pass.’

‘Worst fears have come to pass’

 ?? ?? Scandal: IMoS’s 2022 story
Scandal: IMoS’s 2022 story

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