Dáil Éireann Debate, Thursday - 22 June 2023
362. Deputy David Cullinane asked the Minister for Health to outline any cost-saving measures identified in health in budgets from 2016 to date; the amount of money saved; and if he will make a statement on the matter. [30377/23]
View answerI have set out below the information which is available in relation to savings targets outlined in the Budgets/ National Service Plans for the years 2016 to 2023. In relation to part of the question on the amount of money saved, my officials have referred the question onward to the HSE to populate the estimate of actual savings delivered and I am asking that the HSE should revert directly to you on this.
If you need any additional information, please do not hesitate to contact myself or the Department
2016
Proposed Savings identified €125m
Description of Area of Saving : €15m in the procurement process and €110m targeted reduction in prescribing and drug costs within PCRS
2017
Proposed Savings identified nil
Description of Area of Saving : not applicable
2018
Proposed Savings identified €346m
Description of Area of Saving : Value Improvement Programme Theme 1 €77m. Savings to be sought in the following areas: Acutes €46m, Disability €15m, Older Persons €9m and Primary Care €7m
Value Improvement Programme Theme 2 €119m and Value Improvement Theme 3 €150m.
Value Improvement Programmes Themes 2&3 are whole of system efficiencies that were to be identified
2019
Proposed Savings identified €30m
Description of Area of Saving : Reduction in absenteeism rates, stock and logistics efficiencies, income generation re surplus property assets, reduction in low value/no value care, prioritization of staff travel, additional modernization and prioritization of training and development, campaign spending, community income and PCRS probity and scheme costs
There are other areas detailed in the NSP where lower provision is being made, cost reduction or improved income generation is set out. There are other actions to limit cost growth as well as areas of a technical financial nature that are outlined to provide savings as set out in the NSP which is available to view at the following address.
www.hse.ie/eng/services/publications/serviceplans/national-service-plan-2019.pdf
2020
Proposed Savings identified €125m
Description of Area of Saving : Promoting the switch to biosimilar drugs, sustainability program on community pharmaceutical costs. General efficiencies to support new and existing service costs. Reconfiguration of long terms care beds stock to address value for money issues
2021
Proposed Savings identified €160m
Description of Area of Saving : €90m from past pay arrears settlements, €35m biosimilar savings and €35m overseas treatment
2022
Proposed Savings identified €67m
Description of Area of Saving : Efficiencies in respect of nursing homes cost of care €37m, acutes income €10m and €20m PCRS/biosimilar savings
2023
Proposed Savings identified €49.2m
Description of Area of Saving : This relates to an overall reduction in the workforce targets for 2023 to an overall workforce level of 142,923. This represents a reduction of 769 WTE over the maximum workforce numbers in the 2022.
Several value improvement projects for effectiveness and efficiency have been set up included in the NSP. These are listed below. No monetary savings figure was ascribed in the NSP for these projects.
1. Rostering/Management of overtime and agency
2. Cost of Care in Public Long term nursing homes
3. Reduction in the use of external consultants
4. High- Cost Residential Placements (Disability and Mental Health)
5. Covid 19 responses
6. Private Maintenance income
