Hospital ward closes in bid to reduce €7m debt

A 31-BED ward at the Mercy University Hospital (MUH) in Cork is to close until the end of the year as the hospital struggles to claw back €4.6 million of a €7.2m accumulated deficit.

Management at the hospital estimates the cost-cutting measure will save in the region of €2 million. Cost-cutting measures outlined to line management at the hospital yesterday include reduced overtime, less use of temporary staff, deferred filling of vacancies, reduced out-of-hours payments and no use of locums. From a patient perspective, the hospital hopes to create cost savings by reducing length of stay.

The hospital has run up a deficit of €7.2m since 2003. Yesterday, management told staff that they needed to minimise expenditure and maximise income in an effort to break even by the end of 2008.