This story was first published in digitalhealth.net
Concerns raised over diversion of capital budgets
Public Accounts Committee Chair Meg Hillier has sent a letter to the Department of Health over concerns with the failure to provide clarity on the diversion of capital budgets in the NHS.
Writing to Chris Wormald, permanent secretary at the Department of Health, Hillier expressed discomfort at the ‘lack of clarity about the long-term impact on the healthcare system's asset base from the ongoing use of capital budgets to support day-to-day spending’.
She also highlights that ‘some £2.79 billionn of capital funding has been diverted into sustaining the finances of the NHS’ since 2014-15, with further transfers planned over the remainder of the spending review period.
Her letter, which followed an appearance by Wormald before her committee, echoes recent concerns voiced by the British Medical Association over the department’s practice of bailing out revenue budget shortfalls from the capital budget.
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