Pearse Doherty (Donegal South West, Sinn Fein)
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133. To ask the Minister for Health if he will outline the scope of the cuts he proposes to impose on health services, other than staff pay cuts, during 2014 and 2015; if he has carried out an impact analysis of such cuts to date since 2008; and if he will make a statement on the matter. [22561/13]

James Reilly (Dublin North, Fine Gael)
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The level of funding available for the health budget for 2014 has not yet been determined, and the extent of any savings required will be considered as part of the Estimates and budgetary process later this year. Deliberations by the Government on the expenditure allocations for next year and 2015 are likely to continue up until Budget time. As with previous Budgets, the difficult financial position facing the Exchequer will obviously require very careful management across all areas of expenditure.

There has been a significant reduction in the cost base of the health services over the last few years, and yet the level of service has either been maintained or increased. We are cutting the cost of services, not the services. This has been, and will continue to be, achieved through efficiencies and re-configuration under the existing Croke Park Agreement. Significant savings have been achieved to date in relation to the cost of pharmaceuticals and professional fees, thereby reducing the cost of the PCRS without affecting the clients. The agreement reached with the Irish Pharmaceutical Healthcare Association (IPHA) will provide savings in excess of €400m over the next three years. This will mean significant reductions for patients in the cost of drugs, as well as a reduction in the drugs bill to the State.

The reductions in the cost base over the last number of years have largely been required to meet unavoidable pressures within the health system, along with Programme for Government commitments, for which no additional funding was available from the Central Exchequer. Within the overall expenditure reduction, additional funding was made available to address key policy priorities in services for older people, disability, cancer, child protection and suicide. Furthermore, additional numbers of medical cards as a result of the economic crisis along with the development of primary care and mental health services all had to be met from the reduced level of funding available for the health sector. Achieving this, whilst maintaining the level of services provided is evidence of the significant progress in reducing the cost of services in the health sector.

My Department and the HSE will continue to work on the Health Reform Programme, which is a central element of the Programme for Government and critical to providing a health service which is fair to patients, gives them access when they need it and delivers value for money for the taxpayer.