20/09/2012

Health Department Overrun Reaches €330m

The Department of Health’s financial overrun has reached €330 million and may rise further by the end of the year, an Oireachtas committee has heard.

DoH secretary general Ambrose McLoughlin said €2 billion would have to be taken out of the health budget between 2011 and 2014 to meet Government commitments and “unavoidable pressures”.

This is higher than the €1.1 billion envisaged in the National Recovery Plan, but Dr McLoughlin explained the gap by referring to the deficit and the need to make savings to fund Government initiatives such as the move toward Universal Health Insurance.

He told the Oireachtas health committee that significant progress was being made on reducing the deficit.

He expressed confidence that ongoing talks with pharmaceutical companies on reducing the cost of medicine will deliver the savings predicted by the Government.

However, he added that these talks were always going to be complex and difficult.

(H)

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