Auditor General reports on issues raised in audits of three NHS boards
The Auditor General for Scotland, Caroline Gardner, has issued reports to the Scottish Parliament on matters raised in the audits of the 2014/15 accounts for NHS 24, NHS Tayside and NHS Highland.
The reports draw Parliament's attention to:
- Problems and delays with NHS 24 implementing a major new IT system
- NHS Tayside's need for a Scottish Government loan to break even - for the third successive year
- Improvements at NHS Highland following a critical report last year.
The report on NHS 24 is a follow up to one carried out last year. Delays in implementing a new IT system have brought substantial additional costs and risks to the board's ability to meet its financial targets in future years. The implementation date for the new system has been delayed from June 2013 to October 2015. The estimated cost of the new system is £117.4 million, £41.6 million (55 per cent) higher than the original estimate of £75.8 million.
NHS Tayside's continued reliance on loans (brokerage) to balance its budget largely stems from overspends on workforce and primary care prescribing, retrospective enhancements to holiday pay, and difficulties in selling surplus properties. It received £14.2 million from the Scottish Government in 2014/15 to break even. As well as repaying this loan and meeting continued workforce and primary prescribing spending pressures, NHS Tayside needs to make £27 million in savings in 2015/16.
The NHS Highland report provides an update on progress since a critical report last year on its 2013/14 accounts and responds to a number of issues raised by the Public Audit Committee in its own report in June 2015. The board has strengthened its financial management arrangements but more needs to be done to develop longer-term financial planning and reduce reliance on non-recurring savings.
