Pressure mounts amid hospital works overspend

The development plans include a new main entrance space on three levels, additional operating theatres, and an expansion of the Emergency Department

Pressure has been put on Guernsey’s Health and Social Care Committee to reveal when it knew of an estimated £20-£30m overspend on redeveloping the hospital.

In an email to politicians, the committee president said his committee was trying to bring costs back under the initial estimated cost of £120m.

Deputy Al Brouard said the work remained an "essential programme" if the States was "to have any chance of meeting the long-term care needs of our community".

Former Chief Minister Gavin St Pier has submitted questions to Health and Social Care (HSC) to find out when the committee was made aware of the new estimates.

The new Princess Elizabeth Hospital critical care unit is due to have 12 beds

Mr Brouard said although the first phase had been "slightly delayed", it was progressing well and would be fully operational in the autumn.

The committee said it was made aware of "significant cost pressures" due to more "detailed designs" for the second stage of the project.

It said it was hoping to bring them back down to the originally agreed price of £120m.

Phase two of the hospital modernisation includes improvements to maternity and orthopaedics departments, as well as the Emergency Department, the breast unit, and the fracture clinic.

The Policy and Resources Committee said it felt "strongly" there should be no change to the £120m figure for the works, which was approved by the States in October.

It would look at how it could "support" HSC to identify what steps were needed to "ensure this is the case", it said in a statement.

It said it welcomed the commitment from the HSC that it would "do everything possible to ensure the delivery of phase 2 of the hospital modernisation project is completed within the approved budget".

Rising costs

John Bampkin, chairman of the Guernsey Construction Forum, said the increase was not reflective of what was happening in the industry.

He said: "I wouldn't say that we've seen massive increases over the last five months, since the original estimate went in.

"We have seen an increase in freight of between 10 and 18% I think it is, over this winter, which will affect material prices - but nothing to the extent that these numbers are being quoted at the moment."

Mr Bampkin said rising costs of things like materials, energy, and freight since the Covid-19 pandemic had likely contributed to the increased budget for the hospital redevelopment.