On 9 November 2006, my Department published the NHS financial report for the second quarter of 2006-07. This report shows that the NHS as a whole is forecasting a £94 million deficit for the year, after the application of a £350 million contingency established by the strategic health authorities.

On the basis of trends in previous years, our objective of net financial balance across the NHS remains deliverable. Strategic health authorities have reported that they will be able to generate a further net contingency of £100 million to offset the deficit.

The report is available in the Library, and copies for hon. Members and noble Lords are available in the Vote Office and the Printed Paper Office. The report has also been published on the Department's website at:

http://www.dh.gov.uk/PublicationsAndStatistics/ Publications/PublicationsPolicyAndGuidance/Publications PolicyAndGuidanceArticle/fs/en?CONTENT_ID=4140436 &chk=WmhHTZ