Govt delays new hospital accounting system

Govt delays new hospital accounting system

Damning report reveals mistakes

‘Payment By Results’, the accounting system whereby hospitals in England are
paid for each treatment they conduct, will not be expanded into other regions
following a damning report.

A report by John Lawlor, chief executive of Harrogate and District NHS
Foundation, found mistakes had been made in this year’s scale of treatment
charges.

As a result the Department of Health was forced to reissue the charges, or
tariffs, just one month before the start of the NHS financial year in April,
because of miscalculations in the original figures published in January.

The new system replaced bulk payments for around 25% of treatments at
hospitals and community care services.

‘There will be no substantial changes to the scope and structure of the
tariff for 2007/8 in order to minimise year-on-year price volatility,’ the
health department said.

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