National promises financial bail-out for health

3.00pm

National today promised district health boards a financial "rescue package" as part of its health policy, though it did not know how much it would cost.

National leader Bill English said the boards had accumulated a combined operating deficit of more than $300 million in the past two years.

Government "secrecy" made it hard to assess how much would be needed.

"We will put in place a rescue package to deal with these deficits," he said, announcing the policy in Auckland this afternoon.

"The Government is hiding crucial information, so it is difficult to pin down specific figures.

"We know we are looking at a large deficit to be covered and it may need to be implemented over the term of Government.

"We will need to see business plans and the true numbers to determine just how much is needed."

Boards were unable to operate within the fiscal parameters set by Government, he said.

A cash injection was needed as boards were having to cut health services in the name of efficiency gains.

National would retain the extra $400 million over three years announced by Labour for the health sector, but look at where it would be spent.

Funding for the rescue package would be separate.

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