Scottish Government
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Funding for NHS Boards

Health boards across Scotland are set to share in £8.584 billion in revenue funding in 2011-12, it was announced today.

This funding includes a £70 million Change Fund to work with local authorities on the redesign of health and social care services.

It will also support the Scottish Government's commitment to continue to reduce healthcare associated infections, deliver the 18 week referral to treatment standard and invest a further £25 million in 2011-12 to fully abolish prescription charges.

In addition, boards will split capital funding of over £488 million which will build new fit-for-purpose facilities and improve those that already exist.

This means a total of £11.4 billion will be invested in healthcare across Scotland in the next year, an increase of £191 million on last year.

Major capital schemes for 2011-12 include:

  • New Southern General in Glasgow
  • Emergency Care Centre in Aberdeen
  • Royal Victoria Hospital, Edinburgh
  • Nuclear Medicine Facilities at Ninewells, Dundee
  • Scottish Ambulance Service Vehicle and Defibrillator Replacement Programme
  • A range of community based facilities across Scotland including those in Jedburgh, Musselburgh, Dumfries, Airdrie, Alexandria, Mull & Iona, Migdale and Cupar

Health Secretary Nicola Sturgeon said:

"The increase in revenue funding to NHS Boards across Scotland clearly demonstrates the Scottish Government's commitment to protect spending on health.

"This funding will ensure that boards can continue to have the necessary resources to bring about real benefits to both patients and staff.

"In addition, despite the significant cuts to Scotland's capital budget the Scottish Government is continuing to prioritise spending on improving facilities in the NHS.

"Not only will this improve buildings and equipment it will support vital sectors of the economy such as the construction industry."

The revenue allocations for NHS Boards are calculated using the National Resource Allocation Committee (NRAC) formula. This takes into account each NHS Board's share according to a number of needs including population share, the age and sex breakdown of that population and level of deprivation.

Resource funding for Health overall has increased by £280 million in 2011-12 delivering on the Scottish Government's commitment to pass on the Barnett consequentials in full to the NHS in Scotland.

The basis of capital allocations to NHSScotland has changed. Allocations comprise a formula based allocation for routine maintenance and equipment replacement with project specific allocations made for projects in excess of Board delegated limits.

All Boards are required to make three per cent efficiency savings which will be reinvested in frontline services. A differential efficiency target has been set for Special Health Boards services not delivering direct patient care services to improve efficiency and support funding front-line services.

Details of Territorial Health Boards and Special Health Boards initial revenue resource allocations for 2011-12 are as follows:

Initial

Allocation

Uplift

2011-12

2011-12

£m

%

Territorial Boards

NHS Ayrshire & Arran

574.7

2.8%

NHS Borders

167.3

2.9%

NHS Dumfries & Galloway

241.7

2.9%

NHS Fife

507.1

3.1%

NHS Forth Valley

402.8

3.2%

NHS Grampian

691.1

3.8%

NHS Greater Glasgow & Clyde

1,895.6

2.7%

NHS Highland

484.8

3.0%

NHS Lanarkshire

815.6

3.2%

NHS Lothian

1,054.4

4.2%

NHS Orkney

31.5

3.0%

NHS Shetland

36.7

2.9%

NHS Tayside

596.4

2.9%

NHS Western Isles

57.7

2.7%

7557.4

3.2%

Special Boards

Scottish Ambulance Service

197.7

1.0%

NHS National Services Scotland

266.0

-1.8%

NHS 24

59.4

1.0%

The State Hospitals Board for Scotland

33.2

1.0%

NHS National Waiting Times Centre

39.1

1.0%

NHS National Education Scotland

393.4

-2.0%

NHS Health Scotland

20.2

-4.0%

NHS Quality Improvement Scotland

17.2

-4.0%

1026.2

-1.1%

Total

8,583.6

2.6%

The uneven spread of uplift across territorial boards is due to formula funding in respect of the £70 million Change Fund being allocated on an age related formula together with funding in respect of the full abolition of prescription charges being provided on the basis of loss of income for each Board.

Details of Territorial Boards and Special Health Boards initial capital allocations for 2011-12 are as follows:

Initial

Allocation

2011-12

£m

NHS Boards

NHS Ayrshire & Arran

21.6

NHS Borders

5.5

NHS Dumfries & Galloway

5.0

NHS Fife

22.2

NHS Forth Valley

11.4

NHS Grampian

64.6

NHS Greater Glasgow & Clyde

215.1

NHS Highland

13.6

NHS Lanarkshire

18.5

NHS Lothian

65.3

NHS Orkney

0.2

NHS Shetland

18.3

NHS Tayside

0.9

NHS Western Isles

0.4

462.6

Special Boards

Scottish Ambulance Service

10.9

NHS National Services Scotland

3.4

NHS 24

0.2

The State Hospitals Board for Scotland

12.2

NHS National Waiting Times Centre

1.8

NHS Health Scotland

0.2

NHS Quality Improvement Scotland

0.2

28.9

Total

491.5

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