NHS FACES £1 BILLION BURDEN FROM LABOUR

NHS FACES £1 BILLION BURDEN FROM LABOUR
LABOUR'S “BUY NOW, PAY LATER” LEGACY TAKES MONEY FROM NHS
The SNP has today revealed figures showing the NHS will have to pay over £1 billion in the next five years in payments for Labour’s PFI legacy.

The £1.01 billion of payments in the next five years is revealed in information from the Treasury.
Over the next five years more money will leave the NHS in repayments for the Edinburgh Royal Infirmary, Wishaw General and Hairmyres Hospital than the capital cost of the projects themselves – with more payments in years after that as a result of Labour’s PFI and PPP deals.

Between 2010-11 and 2014-15

· NHS Lothian will pay £228 million for Edinburgh’s Royal Infirmary – despite the capital cost of the hospital being only £206 million overall.

· NHS Lanarkshire will pay £136 million for Wishaw General – a project worth £121 million and
· £106 million for Hairmyres, worth only £68 million.

SNP MSP Kenneth Gibson said:
“These new figures from the Scottish Parliament, based on information from the Treasury show the legacy Labour has left for Scotland.

“Over a billion of repayments in the next five years is a devastating hit to the NHS budget – particularly at a time when budgets will be under increasing pressure as a result of Labour’s economic mismanagement.

“PFI is typical of Labour’s irresponsible buy now, pay later approach to public spending.
“The NHS will pay more to banks in repayments over the next five years for three hospitals than those hospitals are actually worth. That is an example of the profligacy and incompetence that characterised Labour’s financial management and that Scotland’s public services are now paying for.

“After taking out repayment policies like this Labour has no credibility left on public spending and must answer to NHS staff and patients who are left facing up to Labour’s outrageous debts.