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DHB Finances complete financial year strongly

Media Release

23 August 2006

DHB Finances complete financial year on strong note

The Ministry of Health continues to see evidence that District Health Boards are generally managing their financial performance well.

John Hazeldine, the Ministry's DHB Funding and Performance Manager Finance said the combined results for the financial year to the end of June 2006 showed that DHBs' actual deficits were better than planned by $38 million.

The total deficit was $42 million, which compared favourably to the total planned deficit of $80 million. This saving increases the amount available for health services.

"A major contributor to the difference is Auckland DHB, which is starting to show evidence of gains from its major hospital re-development. Auckland DHB has been able to produce a higher than planned volume of treatments thus contributing more revenue toward covering their fixed costs," Mr Hazeldine said.

Included within the result for the year was a write down of $13 million to the value of the hospital in Whanganui.

Mr Hazeldine said the Ministry continued to work closely with boards to ensure that deficits as a whole were reduced.

For further information go to: http://www.moh.govt.nz/moh.nsf/pagesmh/4549/$File/dhbreport-june2006.pdf

ENDS

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