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337WH<br />

Health Care (North Yorkshire and<br />

York)<br />

mental service has closed the Hawthorn day unit, which<br />

was extremely popular with its service users and well<br />

respected across the community. It is claimed that the<br />

closure is temporary, but the reasons for its closure run<br />

on and on, and it seems endless.<br />

While the excuses mount up, some of the most vulnerable<br />

people in my constituency—many of whom I have<br />

met—have seen their contact time with counsellors, or<br />

their time in respite care, decrease from three or four<br />

days a week to half an hour a fortnight. I am worried<br />

about the impact of the change on some of the most<br />

vulnerable members of the community. In some cases,<br />

those constituents have severe mental health problems<br />

and can periodically be a danger to themselves. I hope<br />

that our PCT will consider that and, even at this late<br />

stage, find a way to reopen the Hawthorn day unit at the<br />

earliest opportunity.<br />

5.16 pm<br />

The Minister of State, Department of Health (Paul<br />

Burstow): I congratulate my hon. Friend the Member<br />

for York Outer (Julian Sturdy) on securing this debate,<br />

and I note the cross-party support that he has gained,<br />

with the arrival of the hon. Member for York Central<br />

(Hugh Bayley). I note the presence of my hon. Friends<br />

the Members for Skipton and Ripon (Julian Smith), for<br />

Selby and Ainsty (Nigel Adams) and for Scarborough<br />

and Whitby (Robert Goodwill), and I know that they<br />

are all interested in and concerned about the issues that<br />

my hon. Friend the Member for York Outer has raised.<br />

He has made a powerful case for why we need the<br />

radical reforms across the NHS to which the Government<br />

are committed.<br />

Before I turn to the points that my hon. Friend has<br />

raised, I join him in praising the work of NHS staff<br />

across Yorkshire. They do an excellent job, often in the<br />

most trying circumstances, and he is right that the NHS<br />

is a national treasure. Our White Paper reforms are, first<br />

and foremost, about freeing those hard-working<br />

professionals from the bureaucracy that stands in the<br />

way of good patient care.<br />

We will be cutting management costs by a third,<br />

moving decisions closer to patients through new GP<br />

consortia and giving local councils more responsibility<br />

for the health of their communities. All those will help<br />

to create a more flexible, efficient, interconnected and<br />

accountable health service.<br />

We are now entering a transition to the new system,<br />

which brings its own challenges for all parts of the<br />

NHS. The descriptions that my hon. Friend has given of<br />

circumstances in his constituency demonstrate the challenge<br />

that is exacerbated by the fragile state of the local NHS<br />

finances. The Government have inherited that fragility<br />

and they will have to address it.<br />

I understand from the strategic health authority that<br />

the North Yorkshire and York PCT is likely to end the<br />

year with a significant deficit unless it takes drastic<br />

action of the sort that my hon. Friend has described,<br />

and to which others have referred in this debate. That<br />

process clearly involves some tough decisions, which<br />

will have a distressing impact on his constituents, and I<br />

will return to those in a moment. I want to answer his<br />

concerns about funding allocations for the NHS in this<br />

part of the country.<br />

1 DECEMBER 2010<br />

Health Care (North Yorkshire and<br />

York)<br />

338WH<br />

At present, as my hon. Friend has described, the<br />

NHS uses a funding formula based on objectives set by<br />

the previous Government and developed by the independent<br />

Advisory Committee on Resource Allocation. I know<br />

that one of the big frustrations for North Yorkshire is<br />

whether its rural nature is taken fully into account in<br />

the funding formula, and my hon. Friend has alluded to<br />

that. As a Government, we have asked for that formula<br />

to be examined. The Secretary of State has asked ACRA<br />

to review how NHS resources are distributed, and has<br />

explicitly requested that consideration be given to the<br />

issues that face rural communities.<br />

Looking ahead, from 2013-14 we will have moved to<br />

the new system of the independent NHS commissioning<br />

board allocating resources to general practice consortiums.<br />

How it does that will be up to the commissioning board<br />

itself, but we are clear that it must do it fairly and<br />

consistently across the country. For places such as his<br />

constituency, my hon. Friend the Member for York<br />

Outer is right—real pace and purpose are vital to getting<br />

the NHS on to a more stable financial footing. I can<br />

assure him that we are keen to make fast progress on<br />

GP commissioning consortiums taking on responsibilities.<br />

In that regard, shadow allocations for GP consortiums<br />

will be published late next year for 2012-13, giving the<br />

new organisations the time and space to test financial<br />

plans before the full system goes live in 2013-14.<br />

My hon. Friend asked whether GP consortiums would<br />

have to take on PCT debt. I have heard that anxiety<br />

expressed around the country. The NHS operating<br />

framework, which we will publish in a few weeks, will<br />

set out the rules on legacy debt to ensure that no debts<br />

carry forward into the new system. That is challenging,<br />

and we are keen to work through it effectively.<br />

I shall now come back to the present and say a few<br />

words about the current financial position in North<br />

Yorkshire and York. The strategic health authority tells<br />

me that the local PCT has had a problematic financial<br />

history stretching back many years, which may be an<br />

understatement. [Interruption.] I can see colleagues<br />

nodding.<br />

Over the past 12 months, its situation has deteriorated<br />

due to a number of factors, including a significant<br />

overspend on community services and the fact that its<br />

QIPP programme has not delivered the expected savings.<br />

As a result, the trust is having to take radical steps to<br />

put its finances in order, including temporary reductions<br />

to some non-urgent health services. I very much regret<br />

that.<br />

I regret that the fragility of the organisation has<br />

placed my hon. Friend the Member for York Outer’s<br />

constituents in a position w<strong>here</strong> they face these service<br />

changes. I hope he will understand that it is not for me<br />

to give a running commentary on every aspect of what<br />

the PCT is doing. On the issues that he highlights—<br />

particularly about the QIPP programme implementation,<br />

which I have looked at carefully—t<strong>here</strong> are lessons for<br />

how we ensure that we get a proper grip on financial<br />

management in local NHS organisations.<br />

It is striking, for instance, that the neighbouring<br />

PCTs with similar populations to North Yorkshire’s<br />

and York’s are not facing the same financial challenge,<br />

nor are they having to resort to the desperate actions<br />

that the trust is taking. My hon. Friend is right to say

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