"Thousands of NHS staff redundancies in England will now go ahead after a deal was reached with the Treasury to allow the health service to overspend this year to cover the cost of pay-offs. The government said earlier this year 18,000 admin and managerial jobs would go with NHS England, the body that runs the NHS, being brought into the Department of Health and Social Care."
"I want to reassure taxpayers that every penny they are being asked to pay will be spent wisely. We're now pushing down on the accelerator and slashing unnecessary bureaucracy, to reinvest the savings in front-line care. It won't happen overnight, but with our investment and modernisation, we will rebuild our NHS so it is there for you when you need it once again."
"The Treasury blocked that, but the BBC understands a compromise has been reached with the NHS permitted to overspend this year. As the job cuts result in savings in future years, the NHS will be expected to recoup the costs further down the line. Overall, government sources said no extra money is going into the NHS beyond what was agreed at the spending review this year an extra 29bn a year above inflation by 2028-29."
A Treasury compromise permits the NHS to overspend this year to meet a one-off £1bn bill for staff pay-offs, allowing planned redundancies to go ahead. The move finances immediate costs with the expectation that savings from job cuts will recoup expenditure in future years. No additional funding beyond the spending review settlement — an extra 29bn a year above inflation by 2028-29 — will be provided. The reforms aim to cut bureaucracy and raise £1bn a year by the end of the parliament to improve patient services. NHS England is expected to be brought back into the Department of Health within two years.
Read at www.bbc.com
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