Health bosses have been ordered to slash spending plans for the NHS in Greater Manchester by almost ONE BILLION pounds.

The need for savings is expected to impact on ‘every aspect of health care' bringing job cuts and changes to services, the M.E.N. understands.

'Scale of health cuts is frightening'

Investment in the NHS has more than doubled since 1997, but massive national debt means that those increases cannot continue. Labour and the Conservatives have both pledged to increase health funding in line with inflation if they win the general election, but that will not keep up with the demand on the service caused by a growing and ageing population.

As a result regional health bosses have told Greater Manchester’s ten primary care trusts – the organisations which fund all health care in their area – that they must save £950m over the next four years.

It equates to five per cent of their annual budget of around £4.5bn and is more than it would cost to run one of the region's major hospitals for four years.

Nationally the government has warned health chiefs the NHS will have to save £15-20bn over four years.

The NHS budget for 2010-11 is just under £110bn. The health service now accounts for nearly one-third of all government spending.

The 'efficiency savings', which are outlined in several of Greater Manchester’s PCT board papers, will begin in April and must be made by 2014.

Bosses have been told to begin with a 30 per cut in management – prompting some PCTs to merge human resources, finance and other 'backroom' services with neighbouring health trusts.

Expensive

It is understood that other savings could be made through a reduction in lifestyle services such as IVF, weight loss surgery and gender reassignment.

But NHS bosses also want to cut the use of expensive emergency care A&E and 999 costs.

A spokesman for NHS North West said: “We are confident there will be no reduction in the NHS budget.

“We want to look at this from every possible angle and so will also be talking to the public about their role.

“We would like to reassure patients, the public and NHS staff that no targets have been set to 'cut' services or jobs. Individual trusts have been asked to start looking at how they can make services more productive, whilst continuing to improve the service offered from the NHS to patients.”

The M.E.N. understands that details of the first proposed savings to be identified include:

  • A ten per cent cut in management jobs at Manchester PCT in 2010-12 with more to follow
  • The merger of management teams at Salford Community Health services and Salford Royal Hospitals with a 30 per cent cut in managers
  • And plans for Bury PCT to merge the management of community services - such as health centres, occupational therapy, family planning, district nurses - with Pennine Care Mental Health Trust to manage their community services.

Other PCTs are still working on their plans. It is understood they have asked the government for more guidance about what qualifies as a management job.

A spokesperson for NHS Manchester said: “The national NHS Operating Framework sets out the requirement for a 30 per cent reduction in PCT management costs over the next three years.

“This recognises the need for PCTs to be more efficient and ensure they are able to prioritise investment in frontline services.

The spokesman added: “Work is beginning to identify how we will deliver this requirement locally.”

'Scale of health cuts is frightening'