Seventh report from the Select Committee on Estimates : together with the proceedings of the committee on 25th May, the minutes of evidence taken before sub-committee D and appendices, session 1948-49 : the administration of the national health services.

  • Great Britain. Parliament. House of Commons. Select Committee on Estimates
Date:
1949
Catalogue details

Licence: Public Domain Mark

Credit: Seventh report from the Select Committee on Estimates : together with the proceedings of the committee on 25th May, the minutes of evidence taken before sub-committee D and appendices, session 1948-49 : the administration of the national health services. Source: Wellcome Collection.

    138/152 page 108
    22 March, 1949.] [Continued. 1216. I am simply seeking to find out how far, in the six months since October, these various estimates have become what I call unrealistic. So far as Scotland is concerned, you have put yourself up by the extra million? —(Mr. Scarth.) Yes, which we thought was realistically related to the ex- penditure we should incur on specialists, but below that we had cut certain Boards of Management up to £160,000 and had found that other Boards of Management had quite hopelessly under-estimated what their expenditure was, and the two can- celled themselves out. We have made this realistic arrangement, and the main reason why we put it up was that we were un- happy about the specialists, Mr. Kenneth Lindsay.] The others had to take account of the specialists later, and you did it at a different time, so that in effect you had taken account of the in- creased specialists’ fees. Mr. Selwyn Lloyd. 1217. What about St. Thomas’s?—(Mr. Howard.) Our budget figures will be hope- lessly unrealistic owing to the hopelessly inadequate provision for these additional salaries, which were not known. Chairman. 1218. Under Spens?—Mainly under Spens. I imagine that will apply to all Teaching hospitals. They will be very directly affected. 1219., And presumably the Scottish figure includes the additional million that you added? You took that factor into account, because you have specialists in your Teach- ing hospitals, unlike the English Regional Board?—(Mr. Scarth.) ‘We cover the teach- ing hospitals also. 1220. Mr. Julian, did you receive any supplementary estimates of that kind from your subordinate bodies at the same sort of time?—(Mr. Julian.) We have 28 Hos- pital Management Committees and only two have over-spent their revised estimate for the period 1948-49; and we have not made any re-allocations of beds or user of the various hospitals, and deliberately have not done so because we do not want to be unrealistic. We have not had any application from ‘Hospital Management Committees, or, if we have, we have simply turned it down—we could not entertain it. 1221. But none of your subordinate Boards or Management Committees have said to you, “We are sorry our original estimate submitted last year in August is now hopelessly inadequate ’’?—One has. (Mr. Weston.) In view of the fact that there have been these additional expendi- tures since that date, I would say that the budgets were not prepared on a factual basis. (Mr. Scarth.) This is a question as to whether the initiative comes from _ the Board of Management level. I think that was the burden of your question. As far as we are concerned in Scotland, it origi- nates from our own, internal auditor going round. Your original estimate, prepared in a hurry, appears to be out of line with your normal number of beds, and we have a look into it, so the initiative came from the Regional Board in making our revised estimate. (Sir Frederick Alban.) In Wales, our Management Committees pointed out to the Board serious deficiencies in their esti- mates and have asked us to make pro- vision accordingly. 1222. On the lines of what Mr. Weston has said?—Yes. ; 1223. Now we will deal with cuts, Since wS went in, Mr. Julian, there has been some- thing in the nature of a cut?—(Mr. Julian.) We have been requested to cut it by £1,282,000. Mr. Kenneth Lindsay. 1224. Is not the cut not on the original figure but on the original figure plus the increase for the specialists?—Yes, that would be true. 1225. That is on a 5 per cent. basis?— No, nearer 8 or 9 per cent. My revised cut that by £1,282,000. 1226. Have you had a similar request, adjusted estimate, after taking into account the specialists’ adjustment, was £7,364,928. The saving to be effected is £334,928, which is a little under 5 per cent. Chairman. 1227. This is about 5 per cent. Then in Scotland?—(Mr. Scarth.) Our revised estimate was £154 millions, and our alloca- is £13 millions, which is about 10 per cent. about St. Thomas’s?—(Mr. Howard.) Our On 23rd February we received a letter from to confine our gross expenditure within the total amount of £1,225,000. That is a re- duction of £142,000. In the letter we were also told to provide for additional ex- penditure within the reduced total. Shall I read you the letter? —| t | :|
    digitised image 1
    digitised image 2
    digitised image 3