Management of Resources Within the Public Sector

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Management of Resources within the Public Sector

Table of Contents Executive Summary 1.Introduction 2.Results 2.1 NHS Spending 2.2 Spending Review 2010 2.2.1 Table 1: Department of Health – Spending Review 2010 2.2.2 Efficiency Savings 2.3 Health and Social Care Act 2012 2.4 Funding Freeze 3.Discussion 4.Conclusion 5.References Bibliography 6.Appendices 6.1 Table 1 Department of Health – Spending Review 2010 6.2 Recommendations

Executive Summary

Since the ‘Comprehensive Spending Review’ in 2010 the National Health Service (NHS) has experienced significant budgetary constraints. Whilst the UK Government has protected the NHS budget, it is still the tightest funding settlements the NHS has ever experienced. Demand is growing rapidly as the population ages and long-term conditions become more common. Along with more sophisticated and expensive treatment options are becoming available and the cost of medicines is growing by over £600m per year.

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  1. The NHS must take decisive steps to remove the barriers in how patient care is provided between hospitals, physical and mental health along with social care.
  2. The NHS could save up to £466m a year if doctors were less likely to prescribe multiple treatments of drugs to older people.
  3. Target resources on clinical interventions that optimise health outcomes and to identify procedures that can be made more efficient.
  4. The NHS could obtain over £2bn over the next five years by selling off surplus land and buildings, according the Department of Health.

1. Introduction

This report identifies the decisions made by the British Government to reduce its National Deficit and how this will affect its Public Services. Every finical year the UK runs up a large budget deficit. This is where the UK Government spends more money than it can collect through taxation. In 2010 the UK Coalition Government set out plans for its unavoidable deficit reduction. This was an urgent priority to secure the UK’s economic stability at a time of uncertainty in the global economy. This was to provide long term stability in its public services and its welfare Systems. According to a report published the ‘Spending Review’ (HM Treasury, 2010) the Coalition Government inherited one of the most ambitious and challenging fiscal positions in the world. The (Office of National Statistics, 2014) (ONS) commented that, Britain’s deficit was at its highest ever recorded in peacetime history. The state borrowed one whole pound for every four pounds that it spent. The interest payments on UK’S National Debt cost the UK around £45 Billion a year or 3% of ‘Gross Domestic Product’ (GDP). However, all the major political parties pledged to protect the National Health Service (NHS) from budget cuts in 2010,

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