HSE reveals budget overspend of €170m
The revelation comes in the executive’s latest monthly performance report, which also shows that the Mid West Regional Hospital in Limerick is over budget by €14m so far this year.
Other hospitals have also overspent, including University College Hospital Galway (€8.6m), Tallaght Hospital (€7.5m), Cork University Hospital (€7.1m), St Vincent’s (€6.2m), Our Lady of Lourdes in Drogheda (€5.6m), Beaumont Hospital (€5.3m) and Waterford Regional Hospital (€5.3m).
According to the report: “Hospital deficits have grown in May 2011 to €120.6m.
“Hospital deficits are being exacerbated by shortfalls in income billing against target and, in some hospitals, activity levels are up considerably compared with last year.”
It also states that childcare is heading for up to a €60m overrun if service activity is maintained at current levels and that pay is contributing significantly to the overall deficit at the end of May.
It also claims that “agency staffing has been highlighted as a major cost driver” but adds that the “problem of agency cost associated with junior doctors and therapy grades has dis-improved. It is still a considerable cost increase which we cannot afford.”
The Nursing Homes Support Scheme, known as Fair Deal, is showing a deficit of €15m year to date, according to the report.
In other measures taken to address the year cost overruns, the report pinpoints a pause in recruitment to all but critical vacancies.
Other measures include:
* A reduction in agency expenditure to 2010 levels or below.
* The children and families service implementing an action plan to address the budget overrun.
It also notes that there is the risk of a “significant growth in retirements late in 2011 arising from the benefits to staff of retiring before March 1, 2012”.
The report also shows that 54,741 adults and children are awaiting either a planned inpatient operation or a day procedure.
