Sean Barrett (Independent) | Oireachtas source

I thank the Minister of State. I was concerned about the traditional agreements of the kind that the Department is trying to correct. His sentiments and ambitions for the Bill all go in the right direction.

I note that the legislation, the Health (Pricing and Supply of Medical Goods) Bill, contains a general wish to curb medical inflation, which we support. There is also a problem with services. I have heard claims that tests, scans, etc., cost far more in Ireland than in other countries. The Milliman report expressed concern, some of which were mentioned by Senator Colm Burke, about people staying in hospital too long at a cost of €1,000 per night which adds to the State's bill. There is also over prescribing and a lack of awareness about general costs. Many economists who have examined the legislation think that reducing costs would be the real function of the competitive health insurance business which the Department is trying to develop as part of the Government's plan. One should not assume that company A charged less for health insurance because it did not insure old people. Perhaps it followed the Department's advice on drugs. It shopped around for low cost locations to provide scans and tests. Perhaps tests were conducted during normal hours so not to incur overtime rates. When I worked on the Brennan commission I discovered that some tests were deliberately delayed and scheduled for when overtime was available. Perhaps an insurance company, on behalf of the Minister, could better police how services are provided and thus provide cheaper health insurance. I know that the Minister of State is attempting to control the budget but the measure would lift a great weight off the Department's shoulders.

What we have done today regarding medical goods should be applied to services. Market mechanisms that can extract a similar gain from excess costs should be implemented. We have a high cost system so we should examine excessive stays in hospitals, excessive prescribing and excessively costly procedures. Perhaps, as part of the Croke Park agreement, we could ensure that procedures are carried out during normal hours so as not to incur overtime rates, reduce high costs and reduce waiting lists. The health service still has many critics and has not met the goals set by us.