The BBC has reported that, according to senior health sources, the £100 billion or so that the NHS in England is due to receive from April 2015 may not be enough leaving it with a funding gap in the next financial year. Austerity measures over the past few years, coupled with increased demands on NHS services due to population growth and higher pension costs within the NHS, are leading to concerns that the sums do "not add up". Monitor, the health regulator, has estimated that, even after efficiency savings, the funding gap for secondary healthcare (hospitals and mental health services) may be £1.6 billion.
Chris Ham, chief executive of healthcare charity, the King’s Fund, has said that “there is a real risk" of local hospitals running out of funding "particularly next year”. Mr Ham also pointed out that, while the Better Care Fund (BCF), a £3.8bn single pooled budget to support health and social care services to work more closely together in local areas, is "a good idea", it is set to drain £2 billion from the NHS budget in 2015/16. As a result, hospitals will have "to find even bigger efficiency savings to balance the books and delivery good standards of patient care."
A spokesperson for the health think tank, the Health Foundation, said that, while the NHS has been managing to make savings in austere times, more money will be needed as the NHS takes on more nurses, the price of drugs rises and pension costs increase.
The Department of Health released a statement saying: “The NHS is on track to make £20bn savings this parliament and we are confident that it will continue to make the savings necessary to meet rising demand”.