Management of the National Health Service

Part of Opposition Day — [15th Allotted Day] – in the House of Commons at 4:34 pm on 9 May 2006.

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Photo of Patricia Hewitt Patricia Hewitt Secretary of State, Department of Health 4:34, 9 May 2006

I will make a little progress, if I may.

The point about fair funding is absolutely central. Because we have promised to give people in every part of the country the best possible care, we are reforming the way in which the NHS is run so that every hospital takes responsibility for organising the best care within its budget. We will not expect others to bail them out.

I repeat the promise that I made to the House—by next April, the NHS as a whole will be back in financial balance. That is why we have asked the strategic health authorities in each region to work with primary care trusts to create a financial reserve so that the organisations in deficit, particularly those with the biggest deficits—that small minority—can be supported while they make the necessary changes.

I want to thank the leaders and staff of the primary care trusts and strategic health authorities who are making very difficult decisions. I particularly thank all those organisations that have already done so much to improve services, have done it within their budgets and are now having to postpone some of the further improvements that they want to make for their patients in order to help solve problems elsewhere.

I stress to the House—as I have said to the strategic health authorities—that, unlike under the old system, every area that is contributing to the new reserves will get its money back, normally within the three-year funding period, and that, wherever possible, the areas of greatest need to which my hon. Friend Tom Levitt referred will get their money back first.