The government must allow health systems to plan their finances over a longer period to help deliver ‘real’ savings by rationalising services, says a leading chief executive.
Kevin McGee, who recently stepped down from Lancashire Teaching Hospitals, said the “short-termism” baked into the annual NHS budget cycle is a major source of frustration for local leaders.
Many trusts and systems have struggled to deliver their financial plans this year due to the savings required, and Mr McGee warned that continuing to “salami slice” the budgets will exacerbate patient safety risks.
He said Lancashire and many other systems urgently need to rationalise and consolidate acute services on fewer sites, which would bring significant cost savings. However, changes such as these can often take years to plan and implement.
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Source: HSJ, 1 November 2023
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