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NHS England takes back £10m from CCGs budget

NHS England takes back £10m from CCGs budget

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NHS England has decided to remove £10 million from the budgets of three CCGs, on the premise that the money should be spent on specialised services. 

Finance chiefs from South Worcestershire, Wyre Forest and Redditch and Bromsgrove CCGs are currently disputing the figure, which would mean it is unlikely they could end the financial year on a surplus. 

Redditch and Bromsgrove CCG had planned to make a £1.8 million surplus at the end of the financial year, which has been reduced to £200,000. If this action is taken the CCG would fail to meet NHS England’s expected 1% surplus.

Lesley Murphy, director of the local branch of NHS England issued a warning to the CCGs that unless the matter was resolved quickly the organisations could move into a “financial recovery process”. 

Mary Walters, chief finance officer for Redditch and Bromsgrove CCG said: "Redditch and Bromsgrove Clinical Commissioning Group, along with the other two CCGs in Worcestershire, have received a reduction to their budget for activity being commissioned elsewhere as it falls under the “specialised services” definition. 

“This figure is currently in dispute and work is being undertaken to clarify what the figure should actually be.”

Brian Hanford, director of finance for NHS England in Arden, Herefordshire and Worcestershire said they were committed to ensuring the success of the CCG.

“The NHS faces a range of financial challenges and the recent meeting between NHS England and Redditch and Bromsgrove CCG sought to identify potential issues early, in order that they can be addressed appropriately. This is part of our normal and routine assurance process with all CCGs across our area.”

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