Universal Health Insurance: Government 'remains committed' to a 'form' of UHI

Taoiseach Enda Kenny has claimed the Government remains committed to a “form” of universal health insurance, despite delaying the reform policy for up to a decade due to long-standing cost concerns.

A spokesman for the Fine Gael leader said the Coalition will continue to consider elements of the UHI proposals first put forward by James Reilly five years ago, after a day in which the reform plan was drastically delayed.

At yesterday’s cabinet meeting, Health Minister Leo Varadkar effectively signalled the end of UHI for the foreseeable future after explaining that three separate independent reports had warned about the significant personal and State costs it would involve.

The decision had been widely expected due to Mr Varadkar’s lukewarm attitude to his predecessor’s proposal and his belief, going as far back as September 2014, that the 2019 deadline for its implementation was “too ambitious”.

The U-turn on Dr Reilly’s proposal, which was central to the Coalition’s programme for government, is based on independent ESRI and Health Insurance Authority advice that the policy would cost adults €2,228 a year and the State €650m.

It means UHI will not be implemented for at least another two government terms — a period that stretches 10 years — and that the two-tier public-private health service will continue.

Health Minister Leo Varadkar

Despite signing off on Mr Varadkar’s conclusion that UHI is not feasible at this stage, a spokesman for Mr Kenny said a “form” of the health proposal is still part of the Government’s “universal healthcare” plans — a policy that involves improved services due to taxation changes and is not a like-for-like comparison to UHI.

“The Government remains committed to universal healthcare: Affordable, quality care for all in a timely way,” the spokesman said at a post-cabinet briefing.

“Such a health service will be funded through a form of UHI. We will continue to move away from the wasteful, inefficient, and unfair approach we inherited from the previous government. This must be done in a way that is affordable for both taxpayers and buyers of health insurance.”

At a separate event in west Dublin earlier in the day to launch school building plans, both Mr Kenny and Mr Varadkar shied away from questions over the UHI U-turn.

Tánaiste and Labour leader Joan Burton

The response was instead left to Tánaiste and Labour leader Joan Burton, who said problems remain with the measure because “the costs and the administrative burden associated with it are significant”.

A spokesman for Mr Reilly did not respond to a request for comment.

However, the opposition parties were quick to round on the decision to scrap a policy the Government championed on entering office. “All along it was a lie. Clearly it was unworkable,” claimed Fianna Fáil health spokesman Billy Kelleher.