Scottish Government
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Efficiency drive saves NHS £300 million

Efficiency measures which have saved the NHS almost £300 million were yesterday revealed by Health Secretary Nicola Sturgeon.

She announced that the NHS not only met its target to make savings of two per cent last year, amounting to £215 million, but exceeded it, saving a total of £297 million.

Ms Sturgeon said every penny saved had been reinvested in front-line health services.

The money saved is the equivalent to:

  • 9165 nurses
  • 2.6 million out-patient attendances
  • 1.3 million MRI scans

Ms Sturgeon said: "The fact that last year the NHS saved £300 million is why we now have record numbers of doctors, nurses, midwives and dentists. It is why we are able to keep delivering real improvements for patients despite challenging economic circumstances.

"I make no apology for continuing the efficiency drive in the NHS. This year and next, the NHS will be asked to yet again meet or exceed challenging savings targets. In return, I will ensure that every penny saved is reinvested in front-line care. I want to thank everyone in the NHS for the hard work they have done to meet these targets and continuing to deliver a first-class health service."

The table below shows the level of savings achieved, broken down by health board area, for the financial year 2008-09.

NHS Board

2% Efficient Government Savings Target (planned)

Actual Savings

Original budget

Allocation on which

savings target was

based

Actual percentage efficiency saving

Ayrshire and Arran

10,934

10,934

546,700

2.0%

Borders

3,178

5,216

158,900

3.3%

Dumfries and Galloway

4,562

4,764

228,100

2.1%

Fife

9,595

10,201

479,750

2.1%

Forth Valley

7,511

8,059

375,550

2.1%

Grampian

12,926

14,222

646,300

2.2%

Greater Glasgow

35,819

54,700

1,790,950

3.1%

Highland

9,193

15,985

459,650

3.5%

Lanarkshire

15,210

19,307

760,500

2.5%

Lothian

19,261

19,141

963,050

2.0%

Orkney

594

1,170

29,700

3.9%

Shetland

699

722

34,950

2.1%

Tayside

11,329

18,155

566,450

3.2%

Western Isles

1,104

1,992

55,200

3.6%

Scottish Ambulance Service

3,668

5,441

183,400

3.0%

National Services Scotland

4,944

5,281

247,200

2.1%

NHS 24

1,068

4,809

53,400

9.0%

The State Hospital

675

759

33,750

2.2%

Golden Jubilee National Hospital

800

1,027

40,000

2.6%

National Education Scotland

724

724

36,200

2.0%

NHS Health Scotland

347

347

17,350

2.0%

Quality Improvement Scotland

325

539

16,250

3.3%

Grand Total

154,466

203,495

7,723,300

2.6%


National Projects

2% Efficient Government Savings Target (planned) £m

Actual Savings £m

NHS procurement

18

24

Shared services

1.5

4.2

NHS logistics

13.3

7.7

Improved prescribing

5

16.1

Drug purchasing

20

32.6

Care Commission

0.5

0.8

Countering NHS fraud

1

5.5

Telecomms

0.4

0.6

IT services

2

2

Total

61.7

93.5

Grand total: £296,966 million

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