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Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: The delay has nothing to do with the overrun.

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: I am a little confused because there was a draft plan in February which was discussed. Some €99 million had to be cut from the capital budget, a portion thereof from the health budget. It was my understanding that that was what was holding up publication of the capital plan and that it was a case of what projects would have to be or could be delayed, although not necessarily...

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: It is a provision of €200 million.

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: When the additional cushion or buffer of €200 million was announced in the summer economic statement, did it cause the Department and the HSE to reconsider the capital plan?

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: The contract for the national children's hospital contains a tender inflation clause, the first review of which is due to take place in August. I do not know if Mr. Desmond can comment on that or even if he is aware of it but it is my belief it will be in August of this year. That is based on a 4% threshold for contractors. The threshold is running way above 4%, which means contractors can...

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: What is the current inflation rate?

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: Potentially, the inflation rate could be as high as 10% in the Dublin area. If it is 10%, that means contractors could look for an additional €100 million in August. Will that have to come out of the €200 million that was set aside or out of a different pot of money?

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: However, Mr. Desmond does not know the potential figure.

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: How soon will we know that figure?

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: Is it likely we will know before budget day because it would have an impact?

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: In terms of where we are today, how deep of a hole are is the State in at the moment?

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: How much of a deficit?

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: Surely the Department is projecting.

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: What kind of work is the Department doing?

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: If the HSE is trending towards a deficit, savings have to be found somewhere to prevent that. Can the HSE or the Department outline the areas they are examining to try to achieve those savings?

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: The HSE has announced some of those savings.

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: Rehabilitative training is being scrapped.

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: What impact does that have on patients?

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: Are any services being cut?

Committee on Budgetary Oversight: Budget Management and Control of Health Expenditure in the context of Budget 2020: Discussion (9 Jul 2019)

Jonathan O'Brien: The Government is still cutting services.

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