close
MENU
1 mins to read

$100m health boost comes at a price


Elective health will get an extra $101m over four years - but a 60% prescription hike will pay for other health services.

NBR Staff
Tue, 15 May 2012

An extra $101 million will be spent over four years on elective health but a 60% prescription hike will pay for other health services.

In the first of what is expected will be a series of pre-Budget health spending announcements this week Prime Minister John Key says the $101m extra funding will be for elective operations, scans and improved cancer services.

Prescription charges will increase on January 1 from $3 to $5 an item, up to a maximum of 20 items a year.

The prescription rise is tipped to generate an extra $20m savings to be reinvested in the first year and $40m in subsequent years, according to health minister Tony Ryall.

Without giving detail of where specific funding sacrifices would be made, Mr Ryall says health will receive a big funding boost, which will come from savings within health and across the government’s accounts.

He says money from increased prescription charges “will be going into more front line services”.

The government wants shorter waits for important diagnostic tests, such as MRI scans, CT scans and colonoscopies.

IT services will receive $16m to speed up access to the tests and $4m for a national register of patients treated for heart conditions, in order to improve their care across hospitals.

An additional $33m over the next four years will be spent on better and faster services for cancer patients.

NBR Staff
Tue, 15 May 2012
© All content copyright NBR. Do not reproduce in any form without permission, even if you have a paid subscription.
$100m health boost comes at a price
20697
false