Bernard Durkan (Kildare North, Fine Gael)
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272. To ask the Minister for Health the extent to which he remains satisfied regarding the adequacy of the health budget to meet the requirements in their entirety throughout 2018; and if he will make a statement on the matter. [17385/18]

Simon Harris (Wicklow, Fine Gael)
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The 2018 National Service Plan set out a budget of over €14.5 billion for the HSE, the highest budget ever allocated. The Health budget was increased by over €600 million on 2017, a substantial additional level of funding. The amount allocated follows an extensive process of engagement between my Department and the HSE, which considers both the funding requirements as submitted by the HSE and the fiscal position. These types of engagements are a normal part of the Budgetary process and happen with agencies across Government. All public bodies put forward spending proposals but all such bodies, including the HSE, are required to operate within the amounts proposed by Government and determined by the Dáil. While increased resources contribute to health service improvement, there are also ways in which improvements can be achieved within the current resources. The HSE has my full support in achieving these improvements as part of our shared reform agenda.

Since I have come to office the allocation to the HSE has increased by €1.4 billion or 10.6%. More resources are always welcome in contributing to the development of services but there is also a responsibility on the HSE to seek greater value from the very substantial existing resources at its disposal.

The services to be provided in 2018 are as set out in the National Service Plan, and levels are typically equal to or higher than planned or delivered in 2017. The additional funding provided in Budget 2018 for new developments will support new or expanded levels of services across priority service areas. I expect the HSE to operate within the funding provided to it in 2018.

The HSE notes that provision of the level of services and activities set out in the plan will require the delivery of value improvements totalling €346m. The Value Improvement Programme has three strands; a Mitigation Programme, a Corporate Value programme and a Strategic Value and Productivity programme. The HSE will lead on both the Mitigation programme and the Corporate Value programme. The Mitigation Programme is focused on cost reductions and savings at service level and includes procurement savings and agency conversion. In the Corporate Value programme, the HSE will identify savings and cost reductions across their entire corporate operations. This might include better control of central administrative costs such as travel and better management of supplies.

The Department of Health will work with the HSE within a shared governance and oversight framework on the Strategic Value and Productivity programme. This will be a multi-year strategic initiative, with the objective of identifying and implementing savings from improved productivity and changes in models of care or policies.