‘Millions' could be slashed from hospital spending

Press, 19 February 1988, Page 2

‘Millions ' could be slashed from hospital spending

PA Tauranga Hundreds of millions of dollars could be slashed from hospital spending if “massive” changes were made, says the chairman of the Ministerial task force reviewing the efficiency of the hospital system, Mr Alan Gibbs. Mr Gibbs, whose team will publish a report midMarch, made his comment yesterday before a

closed-door address to delegates attending a national conference of resident medical officers and hospital interns.

The task force was set up a year ago by the Ministers of Finance and Health. The other members were from within the hospital system.

Mr Gibbs said its main task was to look at efficiencies within the hospital system “and we believe there is massive scope for improvements in those efficiencies.” “We have had an international firm of health consultants from Chicago doing a review of theefficiencies of the hospital system and our report will include that,” said Mr Gibb. “It will also show how potential gains can be achieved. And they are massive ... hundreds of millions of dollars. Some massive changes to management will also be

needed to achieve those aims.”

Mr Gibbs said the savings could be made as a reduction in the costs of the system, but more likely would be used generally to improve the system and improve access to it.

Mr Gibbs, who is chairman of the N.Z. Forestry Corporation and an independent member of the three-person task force, flew into Tauranga in his private helicopter yesterday only minutes before he was due to speak to the medical officers. He said he did not want reporters present as publicity about part of what he had to say could preempt the task force’s report next month.

The conference also heard the Minister of Health, Mr Caygill, say he wanted to see the whole of New Zealand covered by area health boards within two years.