Vol. 415 No. 1
383 Mr. J. Bruton asked the Minister for Health if she will change the basis upon which funds are allocated, through the health boards, towards the running costs of hospitals from a system of allocations being based on historic levels of allocations in previous years, to a system of allocation based on the activity levels of individual hospitals and the relative efficiency of different hospitals in carrying out procedures.
The Department of Health do not strike allocations for individual health board hospitals. A single allocation is made to each board in respect of their overall services, and it is a matter for the board to determine the appropriate budget for each of their hospitals. Although the current allocation methodology is largely incremental, account is taken of changes which are specific to individual health boards; for example, the commissioning of a new facility.
However, it is generally accepted that a more appropriate allocation methodology is required, particularly in relation to acute hospitals. In this regard detailed study is continuing into the use of case-mix data as a basis for allocating resources. The Deputy will appreciate that given the wide variety and complexity of services provided in hospitals, it is a different task to measure output for comparative purposes.
In addition, the case-mix measurement techniques available at present relate to in-patient activity only and do not take account of the very considerable level of work undertaken on an out-patient basis. Notwithstanding these difficulties, I expect that costed case-mix data will in the future influence the determination of allocations. It will, however, be necessary to effect the change on a carefully phased basis.
