Details of health cuts still to be spelt out
Mark Metherell, smh
May 17, 2008
THREE days after the budget revealed there would be $503 million of unspecified cuts to the health budget, the Government has kept silent on where the axe will fall.
The cuts were signalled in the budget papers under the title "responsible economic management" and were described as "adjusting the funding for specific health programs" with total savings of $503.7 million over five years.
By late yesterday the office of the Minister for Health, Nicola Roxon, had detailed less than half of the savings - a total of $246.8 million. A spokesman said the big cuts had been detailed, but numerous smaller items were still to be announced.
It is understood the Health Department came under intense pressure from the Finance Department to cut a swathe through programs where spending had failed to match original estimates.
The savings will offset the Government's promise to establish a $10 billion health infrastructure fund, its $600 million elective surgery campaign, and the planned 31 GP super clinics, which will cost $275 million.
Despite the big promises, health spending will struggle to keep pace with inflation, according to the budget figures, which show total spending will rise from $44.4 billion to $46 billion.
The cuts revealed by Ms Roxon's office yesterday show that areas Labor has identified as priorities have been hit by the Health Department's failure to spend the money as sought by the previous government.
The biggest hit has been to the chronically underfunded area of mental health nursing, which has yielded "savings" of $188 million over four years.
The official explanation is that due to the "limited available workforce", few took up the incentives program for mental health nurses to work in the community.
The Government has left $49.5 million funding for future needs and says targets for the demand-driven program will not be lowered.
Other losers were infrastructure training and support for general practitioners in primary and co-ordinated care, another Labor priority. This would generate cuts of $20 million over four years. A separate primary care fund for one-off projects will save $11.5 million.
A pathology project for remote areas is to lose $12 million in unused funds because "relevant services are now funded under Medicare", and a $10.5 million electronic health project is to be scrapped.
Ms Roxon's office said the Government had adjusted funding for several health programs that had a history of lower than expected spending "by aligning future funding more closely with anticipated demand".
The president of the Australian Medical Association, Dr Rosanna Capolingua, said spending was already "playing catch-up".
"You have to ask how they are going to screw down the real cost of delivering proper care."
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- Dear Fellow Bloggers, For some time I have thought about starting a left of centre news and commentary service and I have tried to do this by using email. But as some good, but email overloaded friends have suggested, a better way to go may be by blogging. So here it is! Jenny's Red News. My primary interests are left of centre politics and the very important question of how can we get left of centre parties, groups and grouplets in Australia working together more co-operatively. The right of centre predominates politics in this country at the present time, and they are on the march. We on the left of centre need to work together more co-operatively and constructively to put the left of centre agenda out there, for the perusal and consumption of the Australian people. Particular topics that will be reported on and on which comments are welcome are: Industrial relations - Opposition to Workchoices Refugee and Asylum Seekers Human Rights Civil Liberties Opposition to the Welfare to Work Changes Health System Reform Aboriginal Health and Reconciliation Jenny Haines posted by JENNY'S RED NEWS at 12:50 AM 0 comments