Catherine Murphy (Kildare North, Independent)
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To ask the Minister for Health the interest rate that will be applied to the overdraft extended to Tallaght Hospital Dublin to cover its budget overrun; the fund that will cover the cost of the interest payments; if it is envisaged that these repayments will impact on the patient services fund of the hospital; and if he will make a statement on the matter. [56890/12]

James Reilly (Dublin North, Fine Gael)
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Tallaght, like every other hospital is facing significant financial challenges. The HSE has had regular ongoing engagement with the hospital with a view to ensuring that the hospital continues to deliver its 2012 service plan commitments in addition to maximising the considerable financial resources at its disposal.

Tallaght hospital has achieved significant operational savings in 2012 and has reduced its year-on-year spending by 6%, despite a 5% increase in in-patient numbers, a 6% increase in Emergency Department admissions and a 9% reduction in its 2012 allocation. Tallaght has achieved HSE targets for reductions in agency and overtime costs and its absenteeism is consistently lower than the HSE national target. It has also considerably reduced the average length of stay times and ED, inpatient and day case waiting times as well as practically eliminating hospital trolleys. The hospital’s staff has displayed great commitment to improving its performance and I am confident that this commitment will greatly assist in addressing Tallaght's current financial difficulties.

The use of overdraft facilities in the latter half of the year is part of the normal financing arrangements with voluntary hospitals. This has always been the case.

The specific query raised by the Deputy regarding the overdraft extended to Tallaght Hospital, has been referred to the HSE for direct reply.