NOTE: By submitting this form and registering with us, you are providing us with permission to store your personal data and the record of your registration. In addition, registration with the Medical Independent includes granting consent for the delivery of that additional professional content and targeted ads, and the cookies required to deliver same. View our Privacy Policy and Cookie Notice for further details.



Don't have an account? Register

ADVERTISEMENT

ADVERTISEMENT

Inflation will ‘negate’ benefit of increased capital allocation – CSO

By Paul Mulholland - 08th Feb 2022

Inflation will ‘negate’ benefit of increased capital allocation – CSO

The HSE Chief Strategy Officer (CSO) has said rising inflation will “negate some of the benefit” of increases in the allocation for capital healthcare projects.

Mr Dean Sullivan also warned that expenditure on the National Children’s Hospital will “significantly impact funding for new projects in 2022 and 2023”. 

Mr Sullivan provided an update on the development of the HSE’s new capital plan at a meeting of the Executive’s audit and risk committee on 12 November. 

The core capital funding allocation for building and equipment in 2022 is €1.0265 billion.  Mr Sullivan also informed the committee that the plan will be informed by a number of other initiatives, including Project Ireland 2040: National Development Plan 2021- 2030 and the Healthcare Capacity Review 2018, among others. 

The committee was briefed on the challenges and risks currently being considered by HSE management in relation to capital funding and planning. 

“The CSO highlighted that projects allocated funding in 2022 will significantly impact projected expenditure in 2023, 2024, and beyond, noting that capital funding levels post 2022 are uncertain,” according to minutes of the meeting. 

“He also explained that despite the fact that Project Ireland 2040 indicates an 11.6 per cent increase in capital allocation for 2023, high levels of inflation will negate some of the benefit of this. Additionally, expenditure on the National Children’s Hospital will significantly impact funding for new projects in 2022 and 2023.” 

The committee was also updated on the current situation in the construction sector, which has caused the HSE to have “difficulties” in procuring contractors to undertake works.

Leave a Reply

ADVERTISEMENT

Latest

ADVERTISEMENT

ADVERTISEMENT

ADVERTISEMENT

Latest Issue
medical independent 9th July
Medical Independent 9th July 2024

You need to be logged in to access this content. Please login or sign up using the links below.

ADVERTISEMENT

Trending Articles

ADVERTISEMENT