§ Dr. Roger Thomasasked the Secretary of State for Social Services if he is satisfied that the latest National Health Service re-organisation has been effective in bringing decision-making and responsibility nearer to the client and his medical attendants and that the expected 10 per cent. saving in administration costs has been fully achieved.
§ Mr. Kenneth ClarkeAlthough it is less that a year since the re-organisation took effect I am satisfied that decision-making and responsibility are already being brought nearer to those providing and receiving services. As the new arrangements get more firmly established, I am confident that further benefits will be seen.
The present target for management cost savings is for all regional health authorities to reduce percentage turnover spent on management from a national average of 5.12 per cent. in 1979–80 to 4.61 per cent. by 31 March 1985. This will represent a 10 per cent. reduction on the baseline proportion, and we expect the target to be met. We are of course continuing to search for ways of reducing administrative costs still further wherever possible.