Extra £15m to cover healthcare overspend approved

Alex Blake
BBC News, Isle of Man
BBC Manx Care sign to the right in front of the entrance to Noble's Hospital. It is white with manx care written in grey and green. The hospital entrance has a revolving door and a triangular canopy.BBC
Manx Care was established as an arm's length healthcare provider in April 2021

An additional £15.3m in funding to cover the cost of an overspend on healthcare last year has been approved by Tynwald.

The Department of Health and Social Care (DHSC) asked for the sum at the final sitting of the parliament before the summer recess to cover spending by Manx Care in 2024-25.

In a debate lasting one and a half hours, several members criticised the department's continuous overspending.

But DHSC Minister Claire Christian said the DHSC had "identified areas of further efficiency which will be developed and implemented" this financial year.

Among members who stated they would not support the supplementary vote was Onchan MHK Rob Callister, who called for a "fundamental review" of Manx Care's structure.

He said "difficult conversations" were needed after the healthcare operator had repeatedly overspent and needed extra funds each year since it was created in April 2021.

Calling for "reform, change and restructuring", he said Tynwald had become "an open cheque book" and they had reached a "critical junction".

His views were echoed by Arbory, Castletown and Malew MHK Tim Glover who said "enough is enough".

He said: "We're just going to stand here and vote £15.3m through as if it was perfectly normal."

"Get your act together," he added.

Also rising to speak was Douglas North MHK John Wannenburgh, who called the situation "nothing short of ridiculous" and blamed the overspending on budget underfunding.

He also argued a full breakdown of where the overspend had come from was needed, calling for a review of the "bloated management" within Manx Care and the DHSC.

Manx Scenes The white parliamentary building has a semi-circular shape on the roadside corner, with pillars on the ground floor and a Manx flag on the roof. Due to its shape it is known as the wedding cake building.Manx Scenes
MHKs approved the overspend on the final Tynwald sitting before the summer recess

Christian said Manx Care was "still going through a great deal of growing pains" and the DHSC had worked on "tightening spending controls".

She said in the 2024-25 year, the healthcare provider had saved £13.4m through its cost improvement programme.

This was through reducing bank and agency staff, optimising medicines, workforce management, review of high-cost contracts, reducing supply expenditure and increased commercial income, she said.

However, she said despite this "spending exceeded the amount allocated for the services outlined in the mandate for the year" and further work was "still required to achieve more efficiencies".

The minister said she wanted "solutions" from Tynwald members and asked them to help avoid the same situation arising the following year.

The motion carried, with 18 votes for and five against in the House of Keys, and seven for and one against in Legislative Council.

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