CIPFA

Welcome to the CIPFA Health Panel e-newsletter.

The Health Panel is committed to providing quality events, publications, services and invaluable insights into the challenges facing CIPFA members in the NHS. This newsletter is a summary of current developments at CIPFA and in NHS Finance and it is hoped that it will be of interest to all finance professionals working in the Health sector.

If you have any comments or suggestions regarding future editions please submit your comments at www.cipfa.org.uk/panels/health/feedback.cfm.

View the text-only version.

IN THIS ISSUE:

     
Conferences/Seminars
  Health Advisory Network
  Financial Management
  Financial Reporting
  Governance
  Health Panel
  Public Management and Policy Associatation
  Publications
  Public Reporting and Accountability Awards
  Public Servants of the Year Awards
  Sustainability
  TIS Health online
Audit
  Commissioning
  Counter Fraud
  Governance
  GP Contract
  Management Commentary
  Mental Health Services
  NHS Pay
  NHS Lift
  NHS Reform
  Older People Services
  Palliative Care
  Payment by Results
  Prescription Charges
  Preventative Technology
  Regulation
  Social Care Finance
Anti-Social Behaviour
  Medical Research Partnership
  NHS Finance
NHS Finance
 

CIPFA NEWS

CONFERENCES/SEMINARS

Practice Based Commissioning,
London - 5 June

This event will explore the following key issues for finance practitioners

  • Policy development
  • Funding
  • Audit and Inspection
  • Accountability and Governance
  • The role of the private sector
  • Implementation

CIPFA Annual Conference and Exhibition 2006
Harrogate International Centre - 13 - 15 June 2006

The programme for our 2006 Annual Conference is near to finalisation. Confirmed speakers include:

  • Sir Michael Barber, former No. 10 advisor
  • Steve Bundred, Audit Commission
  • Niall Dickson, Kings Fund
  • Frank Field MP
  • Roy Hattersley
  • Peter Housden, Office of the Deputy Prime Minister
  • Simon Jenkins, author and journalist
  • Mary Keegan, Head of Government Accountancy Services
  • Sir Michael Lyons, HM Treasury Advisor
  • John Oughton, Office of Government Commerce
  • Professor Colin Talbot, Chair of Public Policy & Management, Manchester Business School
  • David Walker, US Comptroller General
  • Dr Tony Wright MP

To request a copy of the full conference programme and booking form (available from March) contact margot.gallie@cipfa.org, alternatively visit www.cipfaconference.org.uk.

Health Finance conference - 5/6 October, Bristol

More details will be provided in future editions.

For further information on events please visit the CIPFA Shop www.cipfa.org.uk/shop

To register and receive more details of events please contact Alexandra Aarons, CIPFA, 3 RobertStreet, London, WC2N 6RL (tel 020 7543 5751; e-mail alexandra.aarons@cipfa.org).

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HEALTH ADVISORY NETWORK

Financial recovery for primary care trusts

The financial position of the NHS has been deteriorating rapidly in recent months, with media speculation of an £800m overspend in 2005-06.

It isn’t just secondary care providers that are suffering from financial instability. Many PCTs are also experiencing deficits, some of them substantial. Provider budgets are being squeezed, prescribing costs are mounting, and a combination of targets and tariffs has left commissioning budgets increasingly exposed. Yet ‘turnaround’ interventions are still predominately focussed on hospitals.

It is anticipated that 2006-07 will be an even more financially challenging year for primary care trusts, with the announcement (just 2 months before the end of the financial year), that they are to receive only 50% of the additional allocation required to purchase activity levels under payment by results. This change in policy alone is expected to leave huge ‘black holes’ in PCT finances.

Practice based commissioning, service redesign and proactive demand management are being promoted as the keys to PCT financial recovery; yet they also carry risks.

The CIPFA Health Advisory workshop has developed a practical one day workshop which will focus on the financial challenges facing PCTs. It will discuss and explore the radical approaches being taken by some PCTs to try and restore financial stability. The workshop will be held on

28 June 2006 – Central London

Workshop objectives:

  • To identify and prioritise the major short-term financial challenges faced by PCTs, and the warning signs of deterioration
  • To identify some of the levers that can be used to change a ‘deficit’ mind set, with a particular focus on practice-based commissioning
  • To review the impact of PCT reconfiguration and the ‘healthcare outside hospitals’ white paper
  • To understand the relationship between service redesign, efficiency and the use of resources
  • To highlight areas where the national tariff offers a lever for improvement and efficiency gain

This workshop will be led by Noel Plumridge, Health Service Journal columnist and author of CIPFA guides to the Payment by Results system and to the finances of long term illness.

If you would like further details about this workshop or would like to find out more about the CIPFA Health Advisory network, please visit our website at www.ipf.co.uk/healthcare or email Davina.Joseph@ipf.co.uk

A certificate of attendance is issued after all our health network workshops, which can count toward your CPD.

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FINANCIAL MANAGEMENT

Strong and effective financial management is key to well-managed and sustainable public services.

The CIPFA Financial Management Model (FM Model) is a web-based self-assessment tool that examines financial management in the public services. It tests how an organisation measures up against 42 good practice statements and places that organisation into a spectrum of three 'styles'- Enabling Transformation, Supporting Performance and Securing Stewardship - to build a picture of how finances are working and identify areas for improvement. A key feature is the ability to survey opinion throughout the organisation.

The FM Model sits on a secure website that lets users score and evidence the good practice statements, revisit, collate and report on their scores and target questions at key people to test views and opinions. It offers organisations the opportunity to:

  • Manage strategic risk through self-assessment;
  • Identify strengths and areas for improvement;
  • Prioritise improvement;
  • Be better prepared for inspections and audit;
  • Review and track its progress over time;
  • Benchmark performance against other comparable organisations
For more information visit www.cipfa.org.uk/shop

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FINANCIAL REPORTING

CIPFA monitors developments in financial reporting and auditing standards, paying particular attention to those that are relevant to the public benefit sector. The Accounting and Auditing Standards Panel website features a newly redesigned page which provides a round up of recent consultations, drafts and final standards.

More details are available at www.cipfa.org.uk/panels/accounting/newstandards.cfm

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GOVERNANCE

CIPFA and IPF, its management support services company, has launched a website that brings together the CIPFA Group’s work, and the work of others, on governance in the public sector.

The website can be found at: www.CIPFAgovernance.net.

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HEALTH PANEL

When the Panel last met on 17 January the topics considered included:

  • Financial Management in the NHS
  • the Monitor consultation paper s on Financial Reporting and Code of Governance
  • NHS Institute for Innovation and Improvement
  • Payment by Results Code of Conduct
  • a progress report on course and publications

The Panel has a vacancy for a volunteer with a special interest in Mental Health Services Finance.

The Panel has also submitted a response to the Monitor consultation paper 'NHS Foundation Trust Financial Reporting Manual 2005/06' which is available at www.cipfa.org.uk/panels/health/responses_health.cfm

Expressions of interest should be submitted on the Panel feedback webpage www.cipfa.org.uk/panels/health/feedback.cfm

The last meeting of the Panel was held on 25 April 2006 and comments/views are always welcome.

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PUBLIC MANAGEMENT AND POLICY ASSOCIATION (PMPA)

The Public Management and Policy Association (PMPA) is a national membership organisation, managed by CIPFA, dedicated to helping managers, policy makers and academics keep in touch with and understand the wider cross-cutting developments in public policy making that affect the governance, general and financial management of the public services. In addition to excellent networking and personal development opportunities across the public services, the benefits package includes:

  • Priority booking for PMPA lectures
  • Subscription to Public Money and Management
  • Up to three PMPA reports each year
  • The PMPA quarterly Review

PMPA lectures:

10 May 2006
Adam Sampson (Director, Shelter): Green and Pleasant Land: Can We Address the UK's Housing Crisis Without Concreting Over the Countryside?

28 June
Cheryl Miller (Chief Executive, East Sussex County Council) and Richard Penn (former Chief Executive of Bradford City Council): Managing in a Political Environment.

*Unless otherwise indicated all PMPA lectures start at 5.45pm and will be held at CIPFA, 3 Robert Street, London WC2N 6RL. PMPA events are free to attend, book online at www.pmpa.co.uk or email info.pmpa@cipfa.org for further details.

PMPA Reports:

The latest PMPA report ‘Why are we so badly governed’ by Sir Christopher Foster - is now available. (Non-member price £10). Further details available on the website www.pmpa.co.uk.

Bob Black’s (Auditor General for Scotland) report on Public Service Improvement (based on his March 2006 lecture) will be published on 1 May 2006.

Membership:

Individual Membership is £80 (£75 for CIPFA and other associate member organisations) and £35 for retired members and full time students. Corporate rates start at £350 for up to five persons registered by their employing organisations to receive the benefits package. Full details are available on the Association's website www.pmpa.co.uk or email info.pmpa@cipfa.org asking for an information pack and sample publications.

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PUBLICATIONS

Practice Based Commissioning – Practical Steps to Implementation

This new and timely CIPFA title is an invaluable tool for all those involved in practice based commissioning (PBC).

It will be of particular benefit to executives and non-executives at primary care trusts, professional executive committee (PEC) members, PBC leads, project managers and finance managers. Equally, the publication will be of great use to practice based commissioners – both practitioners and practice business managers.

This comprehensive guide provides practical advice on the issues that need to be dealt with and the sub-systems of the NHS that need to adapt in order to facilitate successful PBC. It identifies what needs to be considered in designing, implementing and maintaining local systems and provides guidance on the foundations that need to be laid for the further evolution and growth of PBC.

It details the requirements of the key stakeholders, including practices, PCTs, PECs and SHAs in setting up practice based commissioning; considers the challenges in doing this and how to overcome them; and the potential directions for the strategic development of PBC at a local and wider health economy level.
In doing this it provides an in depth analysis of the roles of the key players and stakeholders, the commissioning models available, their governance and financial management requirements, and the interaction between partners and the overall health care agenda.

This publication is a highly effective and accessible guide and reference for all working within practice based commissioning.

To purchase a copy visit http://secure.cipfa.org.uk/cgi-bin/CIPFA.storefront/EN/product/HE012

Financing Long Term Illness in the NHS

The successful management of long term health conditions presents one of the greatest challenges for NHS management in the 21st century. Life-threatening diseases such as diabetes, heart failure and respiratory illness are making heavier and heavier demands on hospital resources across the western world. Meanwhile, conditions such as arthritis and lower back injury have a profound impact, both on health services and - through prolonged absence from work - on the economy as a whole.

This timely publication on the financing of long term health conditions addresses two important needs:

  • First and foremost, it offers NHS finance professionals, service managers, commissioners and others a solid grounding in the financial importance, concepts and practice of modern chronic disease management. It includes:
    • an introduction to chronic care and the linked concepts of case management and supported self-care;
    • an overview of experience to date, including a range of case studies; and
    • a survey of tools and techniques that support good chronic disease management, covering modern technology, end of life care, and policy initiatives such as expert patient programmes and the GMS contract.
  • In addition, it provides an independent professional commentary on key financial and accounting issues arising from the NHS's new focus on long term illness, and practical signposts through some of the associated dilemmas. Principal areas covered include the business case for chronic care, the implications for acute hospitals, and how chronic disease management can be squared with payment by results.

To purchase a copy visit http://secure.cipfa.org.uk/cgi-bin/CIPFA.storefront/EN/product/HE009

Future Publications

More details will be published in future editions.

Public Money and Management (PMM)

Public Money & Management is owned and managed by CIPFA, and is the official journal of the Public Management and Policy Association which is published on behalf of CIPFA by Blackwell Publishing.

The 2006 issues will cover Managing Knowledge Across Organizational and Professional Boundaries within Public Services (April); and Terrorism and Public Management (June). The October 2006 issue will be on Financial Exclusion.

Details about submitting an article are on the Public Money & Management section of the CIPFA website or micky@mickylavender.com

For further information on PMM and details on how to subscribe, please see www.cipfa.org.uk/pt/pmm/

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PUBLIC REPORTING AND ACCOUNTABILITY AWARDS

The entry deadline for the 5th CIPFA/PricewaterhouseCoopers PRA awards has now passed with a record number of entries received. Entries are currently making their way to a team of voluntary scrutineers, who will assess each entry against five evaluation criteria. Once all marks have been received from the scrutineers, the awards moderator will draw up the longlist from which the judges will decide the winners.

The winners will be announced at the ceremony, which, for the first time, will be integrated into CIPFA’s annual conference programme and will be followed by the inaugural CIPFA/PricewaterhouseCoopers Accountability Lecture given by Dr Tony Wright, MP, chair of the Public Administration Select committee.

For more details view www.cipfa.org.uk.

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PUBLIC SERVANTS OF THE YEAR AWARD

Following a record number of entries, the judges have selected 39 finalists for the Public Servants of the Year Awards 2006. There are three finalists in each of the 13 categories. Details of the finalists and their achievements are available at www.publicservants.org.uk.

All winners will be announced at the glittering awards ceremony on Wednesday 17 May at the Grosvenor House Hotel on London’s Park Lane. Sir Trevor McDonald OBE and Felicity Barr will host the occasion. Tickets for this prestigious event are available by contacting helen.mcdonnell@cipfa.org. Special rates are available to public sector organisations and companies who sponsor or exhibit at CIPFA’s annual conference. Sponsorship opportunities are also available, for further information contact michael.spray@publicfinance.co.uk.

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SUSTAINABILITY

CIPFA has launched a Sustainability microsite to raise awareness amongst members about the development of the topic area. The site will communicate current developments and relevant information to members.

For more details visit www.cipfa.org.uk/pt/sustainability/index.cfm

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TIS HEALTH ONLINE

If you work in Scotland and you’re wondering how to develop your CPD portfolio, TIS Health could be the answer. We are looking for people who work in NHS finance to contribute to our website. No previous experience is necessary, just enthusiasm and a willingness to participate.

You can be part-qualified, newly qualified or an experienced practitioner, and can contribute as much or as little as you want. We are looking for people to review our content and write drafts on specific topics to make sure arrangements in Scotland are covered on the website.

Any work you do will qualify for your CPD scheme and we will provide evidence for your portfolio. Contributing also allows you to explore areas of interest, develop your professional skills and meet with other practitioners. You’ll also have complimentary access to TISonline for the duration of their membership.

If you are interested in any of the above vacancies, please contact Sarah Jeal on 020 8667 8156 or at sarah.jeal@ipf.co.uk

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OTHER NEWS

ENGLAND

AUDIT

The Audit Commission has published its Strategic Plan 2006, which draws on responses from a wide range of organisations, puts taxpayers and service users at the heart of public audit and inspection.

For more details view www.audit-commission.gov.uk/reports.

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COMMISSIONING

NHS commissioning has reached the most critical point in its development since 1990. That is the conclusion of a major new research report published by the University of Birmingham’s Health Services Management Centre and the NHS Alliance.

‘Commissioning in the reformed NHS: policy into practice’ thows new light on the complex commissioning and governance responsibilities facing restructured primary care trusts and practice based commissioners. It spells out in detail the many activities that PCTs and practice based commissioners will need to carry out if they are to make a success of ‘commissioning a patient-led NHS.

The report has a strong practical focus and provides a current snapshot of commissioning ‘work in progress’, highlighting case studies of how managers, doctors and nurses are setting about the task of planning, funding and purchasing new patterns of services for their local populations.

Stark warnings are also contained in the report that current patterns of PCT governance are unlikely to be sustainable in the longer term and that new skills for commissioners are required – if the sophisticated commissioning arrangements are to work effectively.

For more details view www.nhsalliance.org.

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COUNTER FRAUD

The Department of Health and Norton Healthcare Ltd and Norton Pharmaceuticals Ltd ("Norton") have jointly announced settlement of the claims brought against Norton for alleged anti-competitive cartel conduct in connection with the supply to the NHS of generic drugs. Under the terms of the settlement Norton have agreed, on a full and final basis and without admission of liability, to compensate the NHS by payment of £13.5 million and to provide co-operation in connection with the continuing claims regarding the alleged price fixing arrangements.

For more details view www.cfsms.nhs.uk.

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GOVERNANCE

The DH has revised NHS Standing Orders, Standing Financial Instructions and Schemes of Reservation & Delegation to the Board for NHS boards to use as a good practice template for their continued development towards good governance principles.

For more details visit www.dh.gov.uk

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GP CONTRACT

GPs encouraged to tackle more long-term conditions, including dementia, depression, kidney disease and obesity.

Changes to the new GP contract that came into force on 1 April will deliver significant improvements in the range and quality of GP services for NHS patients at little extra cost, according to Health Minister Lord Warner.

The revised contract encourages GPs to take a more direct role in managing patients suffering from seven further long-term conditions as part of a widened quality and outcomes framework incentive scheme.

The new conditions added to the incentive scheme include dementia; depression; chronic kidney disease; a trial fibrillation; obesity; and learning disabilities. GPs will also be rewarded for improving palliative care.

As part of the contract, patients' views and experiences of access and choice will be measured through a new survey. These views will ultimately determine practice income. The survey addresses concerns under the old contract that patients' experiences were different from those reported by the NHS.

For more details visit www.dh.gov.uk

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MANAGEMENT COMMENTARY

From 2005/06 HM Treasury requires NHS bodies to produce a Management Commentary. In line with the recommendations of the Accounting Standards Board’s Reporting Statement: ‘Operating and Financial Review’. The responsibility for the contents of the Review falls to the Board of Directors.

Guidance on Management Commentaries is available at www.info.doh.gov.uk/doh/finman.nsf

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MENTAL HEALTH SERVICES

The Department of Health has published financial allocations to support patients affected by changes to social security benefit rules. Important information for mental health providers, PCT commissioners and social services authorities regarding financial allocations can be found at www.dh.gov.uk

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NHS PAY

Secretary of State for Health Patricia Hewitt has announced 'fair and affordable' pay awards for NHS staff.
The increases mean that the Government has accepted all of the Pay Review Body recommendations for NHS staff pay uplifts, although consultants will receive a 1 per cent pay increase until November 2006 when they will receive a further increase of 1.2 per cent.

For more details view www.dh.gov.uk.

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NHS LIFT

New GP surgeries will open at the rate of one a week during the next 12 months as part of a £270 million transformation of NHS services outside of hospitals.

The NHS plans to open around 60 new GP surgeries, health centres and clinics in 2006 under the NHS Local Improvement Finance Trust (LIFT) programme.

The new buildings will open in towns and cities across England, with facilities planned for Middlesbrough, Colchester, Plymouth, Wigan, Wolverhampton and Waltham Forest.

For more details visit www.dh.gov.uk.

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NHS REFORM

A new report argues that the logical conclusion of the Government’s health reform agenda is a significantly smaller and higher quality NHS workforce.

In Staffing and human resources in the NHS – facing up to the reform agenda, Nick Bosanquet, Professor of Health Policy at Imperial College London, shows that reforms such as foundation hospitals, payment by results and patient choice will mean greater emphasis on productivity and flexible working. The result will be the end of national pay bargaining, a reduction in the NHS workforce of at least 10 per cent and greater investment in staff of all levels.

The report, published by the independent think tank Reform, shows that experienced high quality staff contribute far more to patient care than a larger number of inexperienced staff. Despite this, manpower policy since the turn of the decade has focused on quantity rather than quality. Total NHS workforce has risen from 1 million in 1999 to over 1.3 million now and is on course to reach 1.6 million by 2010.
The costs of this expansion are one of the key reasons why the service is being driven into deficit. It is unclear how a service in financial distress will provide places for the extra students currently in medical school. Despite extra spending, key areas such as radiography and midwifery are understaffed and NHS staff morale is poor compared to other public sector organisations.

The solutions to the problems of costs, shortages and low quality lie in the Government’s highly welcome reform agenda. A service with greater financial awareness and discipline will control its level of manpower. Pay levels will be increasingly determined by the competitive performance of individual hospitals and other providers. Stronger commissioning by Primary Care Trusts will reward higher quality staff and team working.

The report is available at: www.reform.co.uk/filestore/pdf/Staffing and human resources in the NHS, Reform, 2006.pdf.

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OLDER PEOPLE SERVICES

The Department of Health has issued Local Authority Circular LAC(2006)07setting out the conditions governing the use of partnership grant. The circular is brought to the attention of Chief Executives of the nineteen Local Authority-led partnerships including Chief Executives of partner PCTs.

For more details view www.dh.gov.uk.

PALLIATIVE CARE

The Government drive to improve care for people at the end of their lives is making significant improvements to patient care, an NHS progress report confirms.

The £12m programme aims to skill up all NHS staff who provide end of life care so that wherever a person dies - in hospital, in a hospice or at home - they receive good care and are treated with dignity. Training will better equip staff to discuss end of life issues with carers and patients, leading to improved communication and higher levels of satisfaction.

The joint report from Professors Ian Philp and Mike Richards, the National Directors for Older People and Cancer, charts the progress the NHS has made during the past year since the End of Life Care Programme was launched.

Key achievements are that already nearly a third of GP practices have introduced new ways of working and that two thirds of hospital Trusts have implemented the recommended Liverpool Care Pathway in at least one ward. This means taking the best of hospice care - such as good communication with the patient and family and symptom control - into hospitals and other settings such as care homes.

The Year One report for the NHS End of Life Care Programme is available on the Department of Health website www.dh.gov.uk/endoflifecare and the NHS website www.endoflifecare.nhs.uk.

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PAYMENT BY RESULTS

A DH letter to NHS Chief Executives provides an update on the implementation of the Payment by Results assurance framework, which was announced as part of the Department of Health’s operating framework for 2006/07. The assurance framework will support local monitoring of payments and data quality under Payment by Results.

Along with strengthening local arrangements, the framework will include benchmarking of national data to identify potential data quality issues which will in turn inform a programme of random and targeted external audits of clinical coding and data quality. It will also help provide assurance to PCTs that the payments they are making are accurate and fair.

For more details view www.dh.gov.uk.

In addition the DH has announced a short review of the Payment by Results tariff setting process in 2006/07 has been commissioned.

The terms of reference for the review can be found at: www.dh.gov.uk/PolicyAndGuidance.

Monitor has published a discussion paper, Ensuring Payment by Results Enables System Reform, recommends four key priorities to ensure Payment by Results delivers what is required in terms of system reform.

For more details view www.regulator-nhsft.gov.uk.

PRESCRIPTION CHARGES

Regulations have been laid before Parliament to increase National Health Service charges in England from 1 April 2006.

There will be an increase in the prescription charge of 15p from £6.50 to £6.65 for each quantity of a drug or appliance dispensed.

The cost of prescription prepayment certificates will rise to £34.65 for a 4 month certificate and £95.30 for an annual certificate. These offer savings for those needing more than 5 items in four months or 14 in one year.

Prescription charges are expected to raise around £430 million for the NHS in 2006-07. Charges for elastic stockings and tights, wigs and fabric supports supplied through the Hospital Service will be increased similarly.

The prescription charge increase this year closely reflects the level of inflation. The other increases are pro-rata with the 15p increase.These increase will help maintain the contribution charges make to NHS funding.

For more details view www.dh.gov.uk.

PREVENTATIVE TECHNOLOGY

LAC (2006)5 £80M Preventative Technology Grant 2006/07 – 2007/08 aimed at PCTs, SHAs, and Care Trusts, sets out arrangements surrounding the £80M Preventative Technology Grant. The grant is provided to enable councils to invest in telecare to support older people to remain independent at home and avoid unnecessary hospital and residential care.

For more details view www.dh.gov.uk.

REGULATION


The National Audit Office, the Audit Commission, the Commission for Social Care Inspection and the Healthcare Commission have published a joint programme to promote improvement in patient care and efficiency in the NHS and public health. This document sets out our combined programme of national studies for 2006/07 and approach to 2007/08.

For more details view www.audit-commission.gov.uk

Twenty bodies involved in the regulation of healthcare today have launched a series of measures to reduce the burden on the NHS and independent sector healthcare providers.

The move is part of an initiative known as the Concordat, which aims to help inspectorates coordinate regulatory activity.

Now, eleven further organisations have signed up to the Concordat to bring the total number of signatories to 20. They have committed to working together, and with the original signatories, to improve coordination of visits and minimise the duplication of information gathered from trusts.

In addition, an innovative web portal on the new Concordat website (www.concordat.org.uk) has been launched to enable signatories to better schedule their visits or inspections. This portal will enable healthcare providers to hold signatories to account as it allows both those working in regulation and those being regulated to see which healthcare providers are being inspected when and by whom. It will also enable signatories to work more closely and see where there is potential overlap of inspection activity. Providers can raise their concerns through the Concordat e-hotline (concordat@healthcarecommission.org.uk) through which the relevant organisation will be alerted to take any necessary follow up action.

For more details view www.healthcarecommission.org.uk

The Audit Commission has published a paper that attempts to stimulate debate, equip policymakers to go beyond the decisions made so far about the future of regulation and consider what further measures might be needed for the post-2008 period.

For more details view www.audit-commission.gov.uk/reports

The Department has published its draft Simplification Plan on its website for a three-month consultation.
The Plan includes measures that are being taken forward to reduce regulatory burdens on the public and private sectors without removing necessary protections.

For more details view www.dh.gov.uk

SOCIAL CARE FINANCE

The Department of Health will conduct a review of social care, starting from first principles on how social care is funded. The DH believes that this is a once in a decade chance to undertake a fundamental review of social care costs.

To get the analysis right, the DH is bringing together the country’s leading social care experts, and Sir Derek Wanless has agreed to join.

Sir Derek’s work on the over 65 age group will be useful but the Department will also need to consider the needs of the increasing numbers of vulnerable younger adults with complex needs who also need social care support.

The DH wants to examine our requirements over the next ten to twenty years, and as part of this will need to understand how to support the plans laid out in the White Paper with public spending.
This work will inform the Department’s plans for social care funding, which will be submitted to the Treasury as part of the comprehensive public services spending review in 2007.

For more details view www.dh.gov.uk.

Harsh financial pressures and demographic changes have left a gaping £1.76 billion back hole in social care budgets, a report by the ADSS has revealed. An annual survey of social services departments has revealed the financial crisis in the NHS, under-funding from central government and demographic changes have placed enormous financial difficulties on councils.

A £1.768 billion gap exists between what local authorities have to spend in the financial year and what it will cost to deliver services. The shortfall has been caused by:

  • An ageing population and a rising number of people who need care. By 2007 it is forecast there will be more people over 65 than under 16 for the first time, and in many areas this is already the case.
  • The financial crisis in the NHS, which has led to more people receiving social care rather than care in a hospital.
  • The soaring cost of contracts with the independent and voluntary sector. Average increases are 4.2 per cent for nursing and residential care, and four per cent for home care.
  • Medical advances that mean young adults with severe physical and learning disabilities are living longer.

For more details view www.adss.org.uk.

Social care for older people in England will require sharp increases in funding to meet the demand for high quality care over the next two decades, according to the findings of a major review commissioned by the King’s Fund and led by former NatWest Group Chief Executive, Sir Derek Wanless.

The report, Securing Good Social Care for Older People: Taking a long-term view, sets out the review's vision of a social care system providing comprehensive, high quality care. It provides an analysis of how social care might be funded in the long term and seeks to trigger a wide-ranging debate on the future of social care and the pace at which the necessary radical changes can be taken forward. The review follows Sir Derek’s two reports for the Treasury on future health care spending in the United Kingdom and on public health in England.

For more details view www.kingsfund.org.uk.

SCOTLAND

ANTI – SOCIAL BEHAVIOUR

Funding worth £2 million over two years has been announced to support projects that bring together health, housing and social work professionals with the aim of targeting help on troubled families to 'break the cycle' of antisocial behaviour.

Justice Minister Cathy Jamieson said the projects would provide intensive supervision and intervention for individuals and families involved in antisocial behaviour.

As well as bringing together services, those families referred to the projects will be set strict targets for behavioural improvements and be subject to sanctions if the targets were not achieved.

For more details visit www.scotland.gov.uk

MEDICAL RESEARCH PARTNERSHIP

A new partnership involving Scotland's universities, NHS Scotland, Scottish Enterprise and Wyeth Pharmaceuticals - a multinational pharmaceutical company – has been announced.

The £50 million deal sets up the world's first 'Translational Medicine Research Collaboration'. It is intended to provide the impetus for Scotland to lead the world in medical research and bring lifesaving new drugs to patients more quickly.

For more details view www.dh.gov.uk.

NHS FINANCE

A £27 million funding package aimed at bringing health services closer to patients and encouraging joint working between public agencies has been announced.

A total of 21 projects across 10 health board areas will share cash from the Primary and Community Care Premises Modernisation Programme - targeted at developing modern facilities with a particular focus on delivering health improvements in areas of deprivation.

For more details visit www.scotland.gov.uk.

WALES

NHS FINANCE

Short term financial pressures are preventing the NHS in Wales from resolving longer-standing deficits and the situation is likely to get worse this financial year, warns the Auditor General for Wales, Jeremy Colman. His report: Is the NHS in Wales Managing Within its Available Resources? found that NHS trusts, local health boards and Health Commission Wales met their financial targets during 2004/2005, but a number had received additional funding - cumulatively some £82 million at the end of that year - with some £55 million repayable by 2009.

For more details view www.wales.nhs.uk.

 

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