Rural Scotland wins extra cash

18 Nov 99
Rural districts are likely to benefit hugely from radical changes in the way Scotland's 15 health boards are funded. But the new system is not likely to be implemented before 2001/02, it emerged this week.

19 November 1999

Formal consultation on recommendations by an independent panel, led by Professor Sir John Arbuthnott, principal and vice-chancellor of Strathclyde University, ended on November 14.

The changes are likely to mean that finances will be directed away from urban areas, such as the Lothian region around Edinburgh, and towards rural, sparsely-populated districts such as the Western Isles.

It had been hoped to introduce the new system for the 2000/01 allocations but a spokesman for the Scottish health department said this was unlikely. The Scottish Parliament's health and community care committee will also examine the plans, which will affect cash-limited spending on GPs' prescribing budgets, general practice and hospital and community health services.

The proposal covers 80% of the £4bn spent annually by the NHS in Scotland. Some services, such as dentistry and ophthalmology, remain unchanged.

'A decision on implementation is likely to be made in the new year,' the spokesman added. 'We will also be examining what further work needs to be done, such as on inequalities in health provision.' Some poorer areas where people have less access to health care facilities may be eligible for special treatment.

Under the new system, which will introduce an adjustment to reflect the costs of providing care to rural communities, Western Isles will be the biggest winner.

If the proposals were applied to the current year's allocations, it would gain an extra £2.2m, 7.2% of its cash-limited budget.

Lothian health board would lose nearly £27m or 5% of its funding.

The changes are likely to be introduced gradually, possibly over six years, to allow time for adjustment. But there is certain to be discontent from areas due to lose funding.

PFnov1999

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