Funding cut alleged for elective surgery

The Budget signals a $70 million cut next year in funding for elective surgery - at least on paper, say health watchdogs. But Health Minister Wyatt Creech says the Coalition For Public Health's interpretation of the figures is wrong and that there is no cut.

The discrepancy surrounds a table listing increases in health spending - and is despite the extra $25 million highlighted in the Budget for elective surgery this year.

It involves the four-year waiting times fund set up to cut the backlog in elective surgery. The fund closes this year with a final $94 million injection.

The table shows that next year - 2000-01 - there will be a $70 million decrease in spending on elective surgery.

Coalition spokesman Lyndon Keene said he was extremely concerned because that money ultimately translated into a cut.

But Mr Creech said there was no cut - it was just that the waiting times fund would be finished. "The level of funding for elective surgery continues so there's not a cut. That was to be a one-off payment for four years to be a big catch-up.

"It was announced from day one that it was going to be like that."

Mr Creech would not rule out further cash injections into the fund.

Mr Keene, however, said the fund had not been effective and its demise would be serious. It was supposed to put a big dent in the list of 200,000 New Zealanders waiting for elective surgery, but several years later almost the same number were still waiting. - Catherine Masters