DHB finances improving

District Health Boards have started the financial year on a strong note, with a deficit more than $9 million lower than planned.

The combined planned deficit for all DHBs for the September quarter was $14.7m but the actual deficit is $4.9m.

A major contributor to the difference is Auckland DHB, which is starting to show evidence of gains from its major hospital re-development, the Ministry's DHB funding and performance manager finance - John Hazeldine - said.

"Auckland DHB has also undertaken a higher than planned volume of treatments in the late winter thus contributing more revenue toward covering their fixed costs," he said.

He added: "District Health Boards are generally managing their financial performance well."

Mr Hazeldine said the ministry would continue to work closely with boards to ensure that deficits as a whole were reduced.

The combined deficit for the September quarter last year was $15.3m.

- NZPA