13/03/2009

HSE Revise Loss Figures By Half

The HSE has halved its estimate for the shortfall it anticipated in funding this year.

The executive originally forecasted a shortfall of over €1bn, but following a six-hour meeting of the executive last night, the new figure is to €480m.

The new figures reworked the expected loss of income from the Health levy, which will be much less than earlier anticipated.

HSE Chief Professor Brendan Drumm said following discussions with the Department of Health, the HSE would now be responsible for securing €205m in savings from the new shortfall estimate.

A revised Service Plan for 2009 will now be submitted by the HSE to a special meeting of the board for approval.

Professor Drumm has already said that hard choices would have to be made to stay within budget.

The rise in unemployment has meant a dramatic fall in income to the HSE from the health levy, as well as an increase in demand for medical cards.

Two weeks ago, a special board meeting was held to discuss the shortfall this year, which was thought to be over €1bn.

(DW/BMcC)

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