Financial Partnerships Unit

Overview of Scottish NHS

policy and development

Peter Collings

Director of Finance, Scottish Executive Health Department

HEALTH CAPITAL PROJECTS

THE POLICY CONTEXT

Single System Working Merger of NHS Trusts and Health Boards

completed 1 April 2004 Now 15 territorial Health Boards for Scotland A managed system rather than one driven by

commissioning Emphasis on NHS Scotland as an entity

Community Health Partnerships New organisations being set up within Health

Boards, or in some cases across Health Board boundaries

CHPs are key to ensuring more integrated, community based health care and health services are delivered across Scotland working in partnership with Local Authorities and other key partners such as the Voluntary sector.

National framework for service change

A planning exercise underway at present to give a national context to regional and local planning

Clear message that regional and local initiatives should press ahead not wait

Financial flows

Basically we fund Health Boards and they spend it!

Some cross boundary flows ( approximately 16% of acute activity)

No market or commissioning mechanisms

Publicly funded capital

0.0

50.0

100.0

150.0

200.0

250.0

300.0

350.0

400.0

450.0

1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06

PUBLIC CAPITAL FUNDING: 1997-98 TO 2005-06

The increase in capital budget means that we have a genuine choice

between publicly funded capital and PPP. We will use whichever is better

VFM in each case.

Joint Ventures (1)

Legal assessment –powers requiredConsultation a requirement prior to introduction

of legislation – ended 14th May 2004

Submission to Ministers by end June Seek legislation at earliest opportunity

Joint Ventures (2)

Premises development BUT Within a context of joint working Within a context of strategic planning

What are the possibilities - Joint premises, regeneration etc…………

PLANNING IS THE KEY TO DELIVERY

Conclusion Significant investment required ranging from

major hospitals to local centres Mix of PPP, Joint Ventures and public capital will

be used Recognise market situation and are committed to

working with NHS and private sector to achieve results