Health board told to take action to curb budget overspend

An MSP has spoken of his disappointment at NHS Tayside’s inability to control its spending in the wake of fresh budget chaos.

Mid Scotland and Fife Conservative MSP Alexander Stewart said it was clear long-standing issues, such as prescriptions and use of expensive agency staff, had not been addressed.

The health board has admitted exceeding its own budget by £6.5 million over the first six months of the 2017 financial year. It is trying to make significant savings and approved a new financial plan in March 2017 outlining the changes it intends to make.

Mr Stewart, whose former council ward in Perth included Perth Royal Infirmary, said the £1m a month overspend was unacceptable. “This level of overspend is highly worrying and patently unsustainable,” he said.

“The news is compounded by the fact that we hear this is in the wake of Health Secretary Shona Robison already conceding that NHS Scotland will fail to meet two key performance targets next year.

“I believe that most of this overspend relates to workforce and prescribing costs.

“This beggars belief, considering the plight that the board is currently suffering as regards its current staffing issues.”

Mr Stewart said he believed the cost of employing locums and agency staff had allowed the situation to “rocket out of control”.

“We are told the board is trying to make £45.8m of efficiency savings for 2017/18 but, notwithstanding this, it would still require a loan of around £4m from the Scottish Government, just to break even,” he said.

“This pattern of overspending is completely unstable and must not be allowed to continue.”

Last month’s Audit Scotland report said there was “a high risk” NHS Tayside would again fail to balance its budget. The board has said it is “continuing to respond to the challenges” of delivering “high quality, safe and effective healthcare” while redesigning services for the future.