The Government has held the health budget increase at $750 million again this budget, which includes funds to help struggling District Health Boards.
The budget said several boards - Hawke's Bay, Auckland, Counties Manukau, Whanganui, West Coast, Southland, Otago, Tarawhiti and Capital and Coast - projected operating deficits
in 2008/09.
"The Government does not view DHB deficits as acceptable and cost containment strategies are in place," part of the budget focussing on risks said. The DHB deficits were described as changed and unquantified.
The budget pledged $3 billion, $750m a year for three years, for health. The increase was the same as last years and takes the total health vote to $12.2b.
The package included:
* $2b over four years inflation adjustment to boost DHBs' spending in line with increased cost of goods and services;
* $172.3m over four years for DHBs to improve efficiency of services and to help meet health targets and $40m over the same period for connected health information technology systems;
* $52m over four years to fight obesity plus $80m over that period to implement the next stage of the primary care strategy.
Also previously announced was:
* $164.2m over five years for Human Papillomavirus vaccine to protect women from cervical cancer;
* $160m over four years to provide more elective surgery and reduce waiting lists.
Health Minister David Cunliffe said the increases were aimed at ensuring coordinated improvement of services.
"Health is not only about ensuring accessible health services exist for those people who fall ill, it's also about keeping people well and giving them the information to make healthier decisions," he said.
The budget documents said the Government was considering indicative operative allocations of $800m and $850m for budgets in 2009 and 2010 respectively.
"These amounts indicate the likely level of increased funding to be provided to vote health in future budgets and to assist the Minister of Health to plan spending over the period," the document said.
Final allocations would depend on fiscal conditions at the time of each budget.
- NZPA
