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ss nucleus - summer 2009,  every penny counts

every penny counts

During 2007-8 the NHS underspent by £1.7bn.

We are so used to hearing news of outrage at NHS deficits that you may have to read that line again in disbelief. Could it be that the NHS has actually delivered on improving its economy?It seems that the simple answer is yes. As The Times commented: 'It does appear that the NHS surplus has been generated with no cost to service quality.' The Chairman of the parliamentary committee for public accounts, who published the financial report, also stated that the service quality actually improved.

The news demonstrates a rapid change in finances; just three years ago the NHS recorded a £500m deficit. The money has been saved in several areas including 'a fall in the price of generic medicines' and 'the underuse of contingency funds' according to The Guardian.

However, some suggest that such a surplus may negatively impact on patient care and demonstrates a lack of financial planning.

The Department of Health has committed to putting some of the money back into the NHS in future years, suggesting that the unspent funds will still be used to benefit patients and may help provide cushioning in the current economic downturn. (guardian.co.uk 2009; 21 May, BMJ 2009;338:b2082, timesonline.co.uk 2009; 25 May)

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