PBR: Taxes may rise to fund NHS
In today's pre-Budget report, Gordon Brown hinted strongly that tax rates would have to rise if the UK is to meet the growing costs of a publicly funded health service.
After introducing an additional Pounds 2bn of public health spending for next year, the chancellor announced the first conclusions of a review into NHS funding carried out by Derek Wanless, former CEO of Natwest.
The Wanless report concluded that a health service, publicly funded by taxation was still the most appropriate and efficient mechanism for delivering healthcare in the UK.
But the chancellor said the service would need ‘significantly greater capacity and significantly more long-term investment’ if it was to meet the long term needs of the country.