HC Deb 20 March 1967 vol 743 c1034
34. Mr. Pavitt

asked the Minister of Health what has been the percentage increase in real money terms of hospital revenue over each of the last five financial years to a convenient date; and if he will make a statement.

Mr. K. Robinson

About 2 per cent. in 1962–63 and 1963–64; about 2¾ per cent. in 1964–65, including a nonrecurring addition of £4 million; and 2¾ per cent. in 1965–66 and 1966–67.

Mr. Pavitt

Would my right hon. Friend accept the thanks of many hospital management committees which are glad to be out of the Selwyn Lloyd strait-jacket of 2 per cent.? Would he try to get it above 2¾ per cent.?

Mr. Robinson

I am grateful to my hon. Friend. He will know that the annual percentage of additions in real terms does not fully reflect the growth of the service. Any economies which hospitals achieve in the cost of running existing services represents extra money available for developments.

Mr. Dean

Would the Minister bear in mind that very substantial figures are involved? Has he read the recent valuable pamphlet by the Office of Health Economics emphasising the importance of management efficiency studies?

Mr. Robinson

Yes, I have. I understand that it might conceivably be raised later today or perhaps early tomorrow morning.