§ Mr. RedmondTo ask the Secretary of State for Health what factors led her to discontinue the management cost control strategy and the publishing of management cost accounts in the annual accounts. [28269]
§ Mr. MaloneTargets on management costs related to costs in regional health authorities, district health authorities and family practitioner committees. Introduction of the national health service reforms with increasing devolution of responsibilities to local level rendered those targets inappropriate.
§ Mr. RedmondTo ask the Secretary of State for Health how many national health service trusts or authorities currently operate within the 1987–88 Trent management cost of 4.9 per cent. of turnover. [28252]
§ Mr. MaloneThe measures used by Trent regional health authority in 1987–88 preceded the creation of national health service trusts through the National Health Service and Community Care Act 1990. On 7 June my right hon. Friend announced that she was asking all trusts to publish in their annual reports information about their management costs based on definitions used by the Audit Commission. Information will be published centrally and the first set of information will be available in September 1995. As a result of the devolution of functions through our reforms of the NHS, we are now able to simplify and streamline the headquarters organisations. Savings are expected to approach £200 million by 1997–98 including some £150 million from reducing and slimming down health authorities and some £50 million in the running costs of the Department of Health. These savings will be ploughed back into patient care.