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Health's financial problems reinforced by sector bodie

Health minister Tony RyallThursday 05 February 2009, 4:00PM

Media release from health minister Tony Ryall

The Crown Health Financing Agency (CHFA) has identified financial risks to the sector in the next three years, while District Health Boards New Zealand (DHBNZ) has warned that rising costs are forcing DHBs to live beyond their means.

The new Health Minister, Tony Ryall has released the final two briefings he received as incoming Minister.

Mr Ryall says, "The CHFA briefing warns that the sector's capital costs will continue to rise. And we already know that the demand for capital is hundreds of millions of dollars in excess of what is available."

The briefing also has a CHFA credit rating for each District Health Board, noting four DHBs improved their rating from last year, 15 were unchanged and two deteriorated.   

Mr Ryall says, "This reflects the worsening financial situation confronting many DHBs and the new government. However, this Government has made it clear that we will continue the growth in health spending over the next three years, including the extra annual allocation of $750 million"

The briefings are available on the organisations' respective websites: www.chfa.govt.nz and www.dhbnz.org.nz

 
 
 





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