Vol. 515 No. 2
85 Mr. M. Higgins asked the Minister for Health and Children if his attention has been drawn to recent figures produced by the OECD showing that health spending here, as a percentage of GDP, was below most other OECD countries; the steps, if any, he is taking to bring health spending closer into line with the OECD norm, particularly in view of the serious shortcomings in the health service; and if he will make a statement on the matter. [5497/00]
The latest available figures produced by the OECD refer to the position for 1997. Since taking up office in mid 1997 this Government has increased health spending by £1,051 million or 38%. The allocation to health will for the first time exceed £4 billion.
The Government, having regard to the extent of unmet needs and our increasing wealth, has implemented unprecedented increases in the real level of health expenditure each year. The very substantial additional funds being made available will bring per capita spending more into line with other EU and OECD countries. I am particularly pleased that the £2 billion in capital funding provided in the national development plan will allow the physical infrastructure to be put in place which must go hand in hand with the increase in day to day revenue spending being made by this Government.
However, caution does need to be exercised in analysing the OECD figures referred to by the Deputy. Regard needs to be paid to the relative cost effectiveness of different systems and the different demographic profiles of the various countries in interpreting these figures. In a review published in 1997 the OECD acknowledged that the Irish health care system results "in good provision of health care at relatively low cost to the taxpayer". One needs hardly look beyond the health care debate in other countries to see that high per capita spending does not automatically equate to a high quality, equitable and comprehensive system for all citizens. In addition, this country is not yet carrying the burden which falls on most other EU countries in providing services for the very high proportion of their populations which are old or very old. In planning for the future it is important that lessons are learned from the experience of other countries in this regard so that the configuration of services takes proper account of the changing demographic profile which is projected over the coming decades.
