Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


Health reform costs grossly underestimated

Roger Sowry National Health Spokesperson

14 August 2001

Health reform costs grossly underestimated

Annette King's huge costs blowout of last year's health reforms show again how badly she is managing health, National's Health spokesperson Roger Sowry said today.

The fiscal implications report on the health sector restructure shows the cost for the 2000-01 year was $114 million instead of the estimated $77 million. It shows the net costs will be $17.5 million and $6.3 million over the next two years when they were estimated last June to be zero.

"The report shows there are ongoing costs with the reforms when we were told there would be none. It shows a continuing cost of $5.7 million from 2003-04, which Treasury estimates to be higher.

"If that cost overruns the 'additional costs will be met by compensating efficiency and effectiveness savings' - that means health cuts will pay for the overrun," Mr Sowry said.

"What this report is saying is that Annette King will fund her huge reform blow out from district health board 'efficiencies'. The boards are already at the bottom of the barrel, running up deficits and refusing to sign their funding agreements.

"We can't seriously have confidence in the figures released today if compare them with last June so there is no assurance that the costs of this unnecessary restructure will not continue to escalate.

"Annette King and the Ministry of Health got the costs of the reforms wrong. New Zealanders are now paying for it through their taxes and in losing health their services," Mr Sowry said.


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Peters/Ardern Triumph

There are a lot of good reasons to feel joyful about this outcome. It is what so many young voters – the best hope for the country’s future – wanted.

Far more important than the implications for the Economy Gods ( is the dollar up or down? ) last night’s outcome will also mean many, many vulnerable New Zealanders will have a better life over the next three years at least.

Yet the desire for change was in the majority, across the country..>>>More


Labour on its agreement |Peters: Post-Election Announcement Speech | Greenpeace “cautiously hopeful” about new Government | ACT - Madman on the loose | E tū ecstatic | Chamber welcomes the outcome | Greens on their joining Govt | EDS welcomes new govt | Immigrant groups worry | Feds ready to engage new coalition government | Labour Ministers of the Crown announced


Climate: Increasing Greenhouse Emissions Hit NZ

New Zealand is seeing impacts of excess greenhouse gas emissions in our climate and oceans, according to the latest national report from the Ministry for the Environment and Stats NZ about the state of the atmosphere and climate…More>>


Wellington.Scoop: Arrests At Blockade Of "Weapons Expo"

“We encourage people in Wellington to get down to the Westpac Stadium now for a day of awesome peace action. There will be plenty of food, music and activities to keep us sustained through the day.” More>>


Rorschach Restructuring: PSA Taking Inland Revenue To Court Over Psychometrics

The Public Service Association will be seeing Inland Revenue in Employment Court over its intention to psychometrically test employees reapplying for their roles at the department as part of its controversial Business Transformation restructuring plan. More>>


Nuclear Disarmament: Nobel Peace Prize 2017 Awarded To ICAN

Congratulations from iCAN Aotearoa New Zealand to international iCAN, the other iCAN national campaigns and partner organisations, and the countless organisations and individuals who have worked so hard for a nuclear weapons-free world since 1945. More>>


Expenses: Waikato DHB CEO Resigns

An independent inquiry has identified that Dr Murray had spent more than the agreed $25K allocated for relocation costs, and other unauthorized expenses involving potential financial breaches of the chief executive’s obligations. More>>


Wellington.Scoop: Sad About The Trolley Buses?

The Regional Council’s MetLink is today spending money to tell us that it really loves Wellington’s trolley buses, even though they’re all being taken off our roads by the end of this month. More>>


Post-Election: Preliminary Coalition Talks Begin

New Zealand First will hold post-election preliminary discussions in Wellington with the National Party tomorrow morning and the Labour Party tomorrow afternoon. More>>




Featured InfoPages

Opening the Election