Patient services may be targeted for €150m

Patients could be facing €150m more in health cuts because of the Croke Park II stand-off at a time when doctor paperwork errors are already costing taxpayers €61m a year.

The head of the HSE revealed the stark situation to politicians during the latest meeting of the Oireachtas Public Accounts Committee (PAC).

Speaking at a debate with the parliamentary group HSE director designate, Tony O’Brien, admitted the Croke Park II crisis means patient services could now be targeted for fresh cuts.

After confirming that the €721m worth of cutbacks already planned for this year included the expected industrial relations savings, the senior official was asked by Sinn Féin TD Mary Lou McDonald how else the money could be saved.

Pointing to service cuts as the most likely option, he said the stand-off “would have a very negative effect on the provision of healthcare”.

“If they [the €150m savings linked to the broken Croke Park II deal] are not found through that [Croke Park II] mechanism, they will have to be found through an alternative mechanism.”

The stance, and Mr O’Brien’s further claim that extra savings from an expected “staff flexibility” as a result of the original Croke Park deal cannot now be depended on, is likely to put fresh pressure on unions to agree to some form of Croke Park II agreement.

The PAC meeting was told the State is still losing millions of euro because consultants are failing to sign off on private patient insurance forms.

Despite the head of the HSE’s claim the issue is being actively addressed, at the end of last year taxpayers were owed a massive €61m due to the easily solvable issue.

While new rules mean doctors must sign off on the forms within 14 working days, last year it took consultants an average of 44 days to do so — down from 62 in 2010.

Under questioning, Mr O’Brien admitted next to no disciplinary action has been taken against doctors who are at the centre of the money drain, other than what one PAC member said was effectively “gentle coaxing”.

Over-pricing claims

The troika has urged Ireland to address alleged over-pricing of drugs.

Senior HSE officials admitted the issue was raised during separate meetings with HSE and Department of Health managers on Wednesday.

Confirming the situation to the Oireachtas Public Accounts Committee meeting, HSE chief operations officer Laverne McGuinness said the talks were mainly focussed on planned health service savings.

However, she said updates on “drug savings” and “potentially further drug savings” were also on the agenda.

Concerns are repeatedly raised over the significant mark-up brand drugs have compared to generic medications, and compared to prices in other countries.