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Capital Funding Cuts Slow Down Developments At Raigmore Hospital, Inverness

14th February 2011

Update on capital budget impact at Raigmore

Plans for a Day Services Centre at Raigmore Hospital in Inverness have been put on hold due to the reduction in NHS Highland's capital funding from £29.9 million in the current year to a figure of £13.6 million in 2011/12.

However, two significant projects at the hospital, the Cardiac Catheterisation Laboratory (Cath Lab) and a second linear accelerator will still go ahead despite the reduction in funding.

The update has been delivered to members of the Raigmore Hospital Governance Committee at a meeting in Inverness today (Monday February 14).

Day Services was the largest single capital project within NHS Highland covering day surgery, endoscopy and renal services. An Outline Business Case was submitted to the Scottish Government in November 2010 however, it has not been possible to progress this as a result of the significant national reduction in capital funding available.

The Cath Lab project, which has already started, is costing just over £5 million and is in three stages involving moving the medical records department, moving the staff changing rooms and setting up of the Cath Lab itself. It is hoped the work will be completed in September of this year.

Work to house the second Linear Accelerator was completed over two years ago with the first machine arriving in January 2009. This is part of a national radiotherapy replacement programme and it is hoped the new machine will be installed in the next financial year (2011/12).

There is a reduced amount of capital available for two reasons - the general reduction in capital allocations across Scotland and the fact that NHS Highland effectively banked £20 million for future use, as the schemes for which this funding had been allocated were not ready to proceed, but this money is no longer available in the short-term.

The Scottish Government have announced that NHS Highland will receive capital funding of £13.6 million. The Board is therefore faced with significantly less money for capital projects and must reflect this in the planned capital expenditure programme.

There will also be significantly restricted access for the whole area to rolling programmes covering medical equipment, eHealth and estates and this could impact on Raigmore.

It is important that best use is made of the limited capital available which focuses on clinical need and risk, ensuring the funds available are for projects that will provide most benefit to patients.