Scottish government could intervene over NHS Orkney finances

The Scottish government has begun the formal process that could see it intervene in the running of NHS Orkney, with the health board citing its "deteriorating" financial position.

The board has been moved to level three of the NHS Scotland Support and Intervention Framework.

The Scottish government will employ "significantly enhanced" support and scrutiny of operations and performance.

There are six boards on at least stage three out of the possible five.

If the situation does not improve, the next steps would be for NHS Orkney to have to report directly to a Scottish government assurance board, or for ministers to take over the running of health services.

Boards at stage three are considered to require a higher level of support and oversight from the Scottish government.

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"We have this week received confirmation from the Scottish government that we have been moved to the first stage of formal escalation due to our deteriorating financial performance, which we have updated our local community on in recent months," NHS Orkney chief executive Laura Skaife-Knight said.

"The board has been moved to level three of the NHS Scotland Support and Intervention Framework, which is the first stage of formal escalation as a result of the deviation from our agreed financial plan for the year.

"This is not where we would wish to be, however we see escalation as a much-needed intervention and an opportunity to ensure we see the improvements that are necessary so that our financial position can be recovered and so that we move to more sustainable solutions and ways of working."

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She added: "We will fully embrace this process and welcome the additional national support NHS Orkney will receive, the details of which remain under discussion and are being worked through."

The Scottish government said that of the 14 territorial health boards in Scotland, there were currently six escalated to stage three or above within the framework.

NHS Orkney joins NHS Ayrshire and Arran, NHS Borders, NHS Forth Valley, NHS Highland and NHS Tayside at stage three or above.

Orkney MSP Liam McArthur described the news as "clearly concerning".