21 November 2003
The Welsh Assembly audit committee has demanded urgent action from ministers over the worsening financial position of the NHS in Wales.
In a hard-hitting report, the Assembly's spending watchdog has warned that the Welsh NHS's deficit for 2002/03 is expected to be £34m when the accounts are finalised, up from £16m the year before.
Plaid Cymru's Janet Davies, who chairs the audit committee, said she was 'very concerned' that the financial problems facing the principality's 22 local health boards and 15 NHS trusts were getting worse rather than better.
'It is vital that the NHS department of the Welsh Assembly government and NHS bodies in Wales work closely together to meet the challenge of bringing the finances of NHS Wales firmly back under control,' she said.
One of the principal reasons given for the overspend is the rise in the cost of primary care drugs and the growing demand – the number of prescriptions rose by 6% in 2002/03.
The committee's report identifies the rising cost of hiring agency nurses as a particular cause for concern. The £15m bill for 2001/02 rose by 20% to £18m in 2002/03.
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