Health board warns of £1.6m cuts bid

Staff have been asked to help identify cost cutting measures.

The NHS Western Isles Board has told staff that it has to find £1.6 million of savings in the current financial year in order to meet a Scottish Government requirement to break even.

This message is contained in the latest staff newsletter issued by the Board. Among the measures proposed are a freeze on filling vacancies, a review of agency staff costs and a ban on non-essential travel.

Last week, the Gazette revealed – as a result of FoI requests lodged by Barra councillor Kenneth Maclean – that the Board is set to spend over £5 million in the current year on “temporary medical staff”, up from just over £3 million in 2018, while only 53 per cent of staff are classified as “permanent”.

The newsletter states: “NHS Western Isles has reported to the Scottish Government a projected £1.6m overspend for this financial year.

"We are legally required to break-even, by managing within our budget, and the Scottish Government has recently re-emphasised to the Board that requirement.

“The executive team, with senior managers, is actively looking at options for recurring efficiencies and reduction of avoidable spend, waste and variation, to go into the three-year operational plan. Budget holders will be receiving more detailed correspondence regarding the break-even position shortly”.

The message to staff continues: “In the short-term the Board needs to secure £1.6m of savings”. It says that “all vacancy underspends” that currently exist “will be used to support the financial position”.

Meanwhile, “a review of vacancies will be undertaken to ascertain the likelihood of recruitment within the financial year.

Other cost-saving measures listed include:

- All agency costs have to be agreed by the relevant Executive Director in advance of securing.

- Present agency costs will be reviewed to ensure a safe and more cost-effective method of filling vacancies cannot be found.

- Any overtime has to be signed off beforehand by the relevant Executive Director.

- Only essential travel will be authorised.

- Staff travelling into Stornoway will be expected to stay at the residences.

- All purchases must be from ‘on contract’ sources. Clinical requests for going off-contract should be reported to the relevant Executive Director.

- All IT and office equipment must be recycled where possible when new staff members take over existing roles.

- No new posts (unless ring fenced funding) beyond existing budgeted establishment and filling vacancies.

- Explore efficiency possibilities regarding prescribing and prescribing management through community pharmacists.

The message concludes: “It goes without saying that we are in challenging times, with cost pressures, demand and the coming winter.

"Our preference is to target, as far as possible, options to reduce spend that do not impact directly on staff. All staff are thanked for their ongoing efforts and commitment”.

Staff are also asked to contribute ideas for cost savings.