Stephen Donnelly (Wicklow, Fianna Fail)
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The HSE monthly financial performance reports (excluding Disability Services expenditure transferred to D/CEDIY) show a HSE Current deficit at end-June of €642 million (6.8%), comprising Core €576 million (6.2%) and COVID €66 million (26.9%).

In respect of the vote position (cash position), figures to end June show the Health Vote at end-June was €220 million (2.1%) above profile, comprising HSE current draw downs €319 million (3.3%) above profile, Departmental and other Agencies current draw downs €21 million (11.8%) under profile, and capital draw downs €78 million (20.6%) under profile. There is active management of the capital plan and it is planned to have full capital draw down by year end.

The deficit in the HSE is largely being driven by increased demand and inflationary pressures across the Health Sector and, in particular, in our acute hospitals. This combination of price and volume increases, reflecting demographic and post-COVID impacts, has led to increased costs in the provision of health services and has contributed significantly to the HSE financial position.

Specific targeted measures have already been introduced to achieve reductions in the deficit including:

- targeted reductions in agency costs;

- a pause on the growth of management and administrative grades;

- reductions in management consultancy; and

- drugs cost reform, in particular increasing use of generics.

The Department of Health and the HSE are working proactively work together to identify areas for further savings and efficiencies in 2023 in order to minimise the deficits in health. In that context, the Department has not finalised an expenditure forecast to end-2023 and continues to work with the D/PENDR and the HSE on measures to mitigate expenditure pressures in 2023.