§ Mr. Dobsonasked the Secretary of State for Social Services if he will place in the Library documents setting out the formulae and the figures used to calculate the present pay bed charges.
§ Mr. Kenneth Clarke:I shall arrange for a note setting out the method of calculation with illustrative figures to be placed in the Library.
§ Mr. Dobsonasked the Secretary of State for Social Services (1) pursuant to his answer of 21 January, Official Report, column 342, whether the long-run marginal costs of treating patients in hospitals with pay beds are estimated to be below, above or equal to the long-run average cost; and if he will quantify any difference;
(2) if he will quantify the estimated difference between the long-run marginal cost and the short-run marginal cost of treating patients in hospitals with pay beds;
(3) if he will quantify the difference between the estimated long-run marginal cost and the estimated short-run average cost of treating patients in hospitals with pay beds;
(4) whether the calculation of the estimated long-run marginal cost of treating patients assumes that the National Health Service is free to substitute fixed for variable costs and vice-versa.
§ Mr. Kenneth Clarke:I am afraid that the answer I gave on 21 January at column 342 referred in error to "long run marginal costs" instead of "long run average costs". Long run marginal costs could be of relevance only in relation to a change in the level of services and have no part therefore in the process of setting private patient charges. I apologise for the error.
The information sought is neither available nor meaningful.