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Audit Scotland - NHS in Scotland managed finances well in 2012/13 but there are growing signs of pressure

The NHS in Scotland managed its finances well in 2012/13 but needs to focus more on longterm financial planning and sustainability to make the changes needed to meet increasing demands. In 2012/13, pressures on the NHS’ capacity became more apparent and the health service spent more on short-term measures to deal with them.

An Audit Scotland report published yesterday, NHS financial performance 2012/13, comments on the health service's management of the £10.9 billion it spent in 2012/13, and on its future plans.

The report says:
  • All NHS boards met their annual financial targets in 2012/13, for the fifth consecutive year, and the service had a small overall surplus of £16.9 million.
  • Demands on healthcare are rising and signs of pressure on the NHS were apparent. Some boards missed waiting times targets; vacancies for hospital doctors, nurses and midwives increased; and spending on bank and agency staff and private health care rose.
  • Because boards have to meet annual financial targets, their focus can be on breaking even each year. They need to focus more on long-term financial planning to change the way they deliver services to meet the challenges of population changes, technology advances and decreasing budgets.

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