THE coronavirus pandemic will cost the NHS in Greater Glasgow more than £300m this year, officials have estimated.
The additional costs have put pressure on the health board’s budget and officials have said the uncertainty over how much it well get to cover costs from central government and the possibility of a second wave means it is unlikely to break even
At its height there were 600 people in hospitals across the area, with coronavirus in April this year.
As the NHS moved to prioritise services to deal with the pandemic it has occurred unexpected costs including for equipment and ensuring staffing levels were maintained.
Mark White, Director of Finance for NHS Greater Glasgow and Clyde, said that it was hoped the Scottish Government could be meeting the additional costs from UK budget consequentials and that the level of recompense was currently being assessed.
He said that so far in the first quarter of 2020/2021 financial year the additional cost has been calculated at £60m for the health board and £59m for the integrated Joint Boards with the various councils in the area including Glasgow City Council.
The direct costs of mobilising and delivering additional services due to Covid-19 has been £32.7m.
While another £25.8m has been lost to the budget from “unachieved savings” also due to focusing on Covid-19 services.
However, he told the Scottish Parliament Health Committee that the figure by the end of the year is projected to be far higher.
He said: “In total for the whole financial year 2020/21 it will be £190m for the health board and £144m for the IJBs.”
Jane Grant the Chief Executive of NHS Greater Glasgow and Clyde said: “We have been working closely with the Scottish Government about additional costs. We have had substantial additional costs. There has been issues with PPE and staffing.”
The committee was told that any savings that had been made due to reduced work in other areas were overtaken by the additional costs.
Mr White said: "There are not many offsets. We anticipate the majority of Covid will be additionality.”
In a presentation to the health board last month Mr White said there is a risk to the board balancing its budget this year.
He said: “However, exact details of COVID-19 financial reimbursement have yet to be confirmed.
“As such, coupled with the uncertainty over a potential “second wave”, there exists a significant financial risk to the Board in breaking even in 2020/21.”
The funding allocations are expected some time this month.
But until then Mr White warned in his presentation.
He said: “Until this process has been concluded and funding allocations are confirmed the actual and projected financial position of the Board remains uncertain.”
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