'No clarity' on Guernsey health overspend reasons

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Guernsey's Princess Elizabeth Hospital
Image caption,

The department has spent more than originally budgeted for six of the past seven years

The reasons behind an ongoing overspend by Guernsey's health services are not clear, the treasury minister has said.

In six of the past seven years, the Health and Social Services Department overspent or had its budget increased.

Deputy Gavin St Pier said: "One common factor has been the inability to understand why.

"There has been no clarity on whether there were underlying reasons; or whether there was just a failure to control costs."

He said: "Everything was just explained as being as a result of 'increased demand' and 'medical inflation'."

The comments come as politicians debate the 2016 budget proposals, which include a £8.2m rise for the health department's budget to £119.7m.

Image caption,

Deputy Gavin St Pier said making health services fit for the future would have to be "done properly, over five to 10 years"

The political board of the department has changed a number of times throughout the seven-year period, with three different ministers leading the department.

The current minister, Deputy Paul Luxon, was elected after the board resigned over concerns about midwifery supervision. Earlier this year he said a fundamental transformation was needed in health services.

Mr St Pier said "significant work" had been done by the health and treasury departments to produce an "evidenced baseline budget".

This showed the island's healthcare services were being delivered for up to £24m more than similar services elsewhere.

Mr St Pier said: "It is beyond doubt: the current service model is unsustainable and unaffordable. Transformation is required.

"However, this must be properly planned and understood. Lessons must be learned from previous programmes and failures. It is vital that the right people with the right skills lead the change and that it is properly resourced."

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