News / NI budget shortfall despite rise

Northern Ireland finance and personnel minister Sammy Wilson has allocated further funding to the Department of Health, Social Services and Public Safety  (DHSSPS) over the spending review period. However, the Department said the figures fall short of the amount needed to cope with increasing demand.

Mr Wilson said the power-sharing executive in Northern Ireland had given health special protection. The DHSSPS budget will rise from £4.3bn in 2010/11 to £4.66bn in 2014/15 – an 8.3% rise in cash terms, compared with a 7.6% cash increase in the draft Budget published last December.

And although he recognised the increase in health spending was less than health minister Michael McGimpsey felt was needed, Mr Wilson believed the case for extra funds had yet to be proved.

However, Mr Wilson raised the prospect of further changes to the health and social care allocation following work by his department’s performance efficiency and delivery unit (PEDU).

‘While I remain confident that that work will identify substantial scope for savings in the DHSSPS, in the event that it concludes additional funding is indeed required I will happily bring proposals back to the executive to top slice all departments to provide the established level of funding,’ he told the Assembly as he announced the Budget.

But a review by King’s Fund chief economist John Appleby published after the announcement put Northern Ireland’s health and social care productivity challenge over the period at £2bn.

The review of funding needs, commissioned by the DHSSPS, said the challenge represented the unmet funding gap, which compared with England will be £1.1bn-£1.5bn by 2014/15, plus the Wanless productivity assumptions.