§ Mr. Dorrell
Mossley Hill hospital has a secure future. Liverpool health authority are currently implementing plans to centralise mental health services on the Mossley Hill site. The hon. Member may wish to contact Mr. Michael Emberton, the chairman of Liverpool health authority, for further details.
§ Mr. Dorrell
I am not aware of any plan of the Royal Liverpool University Hospitals trust and the Broadgreen Hospital trust to amalgamate as a single trust. Any such proposal would need to be put to my right hon. Friend the Secretary of State formally for consideration and would involve the dissolution of the two existing trusts and further public consultation.
Any transfer of health services is a matter for the providers of those services in consultation with purchasers. This is a matter for local discussion and decision.
§ Mr. Loyden
To ask the Secretary of State for Health (1) whether he intends to seek tenders for private capital to finance the hotel residential accommodation at the proposed obstetric and gynaecology hospital in Liverpool;
(2) how many tenders have been put out for the proposed obstetric and gynaecology hospital in Liverpool;
(3) what is his Department's capital limit on the proposed obstetric and gynaecology hospital in Liverpool;
(4) if his Department intends to provide funding for the whole of the capital cost of the acute block and the hotel accommodation for the proposed obstetric and gynaecology hospital in Liverpool;
(5) what are his Department's building cost estimates for the 163-bed acute block and the 100 hotel residential beds of the proposed obstetric and gynaecology hospital in Liverpool; what were the trust application building cost estimates; and if he will make a statement.
§ Mr. Dorrell
[holding answer 12 November 1991]: Approval in principle was given by the Department in September to a new obstetric and gynaecology hospital in Liverpool. The base costs, for approval in principle purposes, was estimated to be around £16 million. This figure was announced by my right hon. Friend the Secretary of State on 10 September and was quoted in the trust application document. With additions for fees, equipment and on-costs (infrastructure) the cost is estimated to be £26.46 million to which will be added VAT and inflation.
Approval in principle does not signal a specific allocation of capital. Any proposal to use private sector 393W capital must be demonstrated to represent value for money and would require the approval of my right hon. Friend the Chancellor of the Exchequer. His approval has not been sought in relation to this scheme.
Estimates of building costs are made by the relevant health authority, whose responsibility it is to seek tenders. The district health authority has not yet reached that stage.