Government withdraws hospital expansion funding

Hospital bosses had wanted to build a new elective surgery unit to ease pressure on NHS waiting lists

A £27m hospital upgrade designed to cut waiting times in Leeds has been shelved after government funding was withdrawn.

Proposals for Chapel Allerton Hospital would have created a new centre for planned surgery, easing pressure on NHS services elsewhere in Leeds.

But a bid from hospital bosses for the cash was rejected by the then Health Secretary Steve Barclay in November.

The Department of Health and Social Care (DHSC) said money for building projects was limited and schemes needed to "provide the best and earliest benefits for patients and value for money for taxpayers".

Spinal surgery would have been carried out at the proposed elective care hub, which would have included a theatre, virtual clinics and an office extension.

Leeds Teaching Hospitals NHS Trust (LTHT) applied for planning permission last July for the four-storey extension at the hospital on Chapeltown Road.

A report to this week’s meeting of the trust board said it had learned of the funding decision in November after the government previously backed the scheme.

The LTHT said it had worked "hard" over the last two years "to build a comprehensive business case" for the venture, the Local Democracy Reporting Service said.

'Disappointing news'

Craige Richardson, the trust's director of estates and facilities, said: “This proposed £27m investment would allow more non-emergency surgeries to take place and reduce waiting times for patients.

“The trust’s business case was initially supported by NHS England and Department of Health and Social Care.

"In November 2023, the trust received disappointing news that the funding for the scheme was no longer available at this time, following a decision by the then secretary of state.”

The trust said it was now looking at alternative funding for the project, saying it remained part of long-term plans for NHS services in the city.

Fabian Hamilton, Labour MP for Leeds North East, said he was "deeply disappointed" by the decision.

"The level of need for treatment in Leeds and the NHS backlog is huge," Mr Hamilton said.

"It’s clear the Conservatives have no plan to protect our health service while they continue to refuse to scrap the non-dom status which could have funded this expansion."

A DHSC spokesperson said: “Capital funding is limited and we have to use it to deliver schemes within budget and timetable which provide the best and earliest benefits for patients and value for money for taxpayers.

“The hub will be able to apply for future rounds of funding and NHS England is supporting the hub to maximise utilisation of the existing estate.”

Leeds has one of the country’s biggest spinal services, carrying out 1,500 elective procedures, 500 emergency operations and 12,000 clinical appointments each year.

Work to develop a separate non-emergency surgery unit at Wharfedale Hospital in Otley, which is also run by LTHT, is progressing and is unaffected by the decision.

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